University of Wisconsin Center for Cooperatives
Journal of Agricultural Cooperation

Title An Analysis of Consolidation for the Farm Supply Sector
Author(s) William J. Talyor and Larry L. Vogler
Series Volume 5
Issue Date 1990
Abstract Changing farm numbers and a changing farm supply industry have prompted many regional cooperatives to consider consolidation of local branches as a means of remaining profitable. A behavior model has been developed that would permit management of regional cooperatives to consider consolidation of product lines or complete branch closures. This model was used in an empirical analysis of a regional cooperative with an overinevestment in capital assets in its local branches. The results indicated that product line consolidation of major products would result in a greater savings that store closure.

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