Exploring The Concept And Forms

Modern day farming has transformed from the farming process of last century. Instead of farmers producing for their families, farmers are now similar to input/output managers supplying massive manufacturers that feed the country.

Farmers’ market produce could fall in one of two marketing channel structures the first one being direct channel. This is so because the Farmers market can sell their produce

1 There are large market places in this field. (Small farmers, Medium Farms, Large Farms)

There is a market trend of supply and demand in an economy and this is measured through the equilibrium process and the actors that affect supply and demand. The farmers are the market suppliers and hence they determine their produce by measuring the equilibrium market prices and quantities. The suppliers are aware that when the prices of commodity increases the demand of the same commodity decrease and when demand increases supply decreases until the market reaches an equilibrium point. There are various factors that affect

Perhaps most importantly, the Internet offers a new way of doing business. A virtual market-place where customers can, at the push of a button, select goods, place an order and pay using a secure electronic transaction.

Operating in business-to-business environment (B2B), GrainGoat must adhere to a different set of attitudes and behaviors than companies who have consumers as end users. As with many agricultural products, the GrainGoat often will do business with either large corporate farming operators or custom-harvesting businesses, or businesses consisting of one person, typically the family farming operation. This single person business is unique as this person consists of the entire buying center, from the initiator to the buyer and gatekeeper.

Farmers get additional unused land from the government to increase their crop production. The government in return takes half of the famers crop at the government regulated price and leave the other half for the farmer to sell on the open market at his discretionary price.

There are some clear challenges facing ODI in terms of implementing the above strategy. Higher initial prices would require ODI to hire some best-in-class sales people who can justify the price to farmers by convincing them with the value-analysis of the product and also meet the aggressive penetration rate targets. This might push the cost of the product (pricing floor) further up eating into their operating margins. ODI should continue investing in research to meet their goal of a multi-product and multi-market company in the long run.

agriculture industry is able to withstand low marginal profit and can sell products at a cheap price,

For the exact product and month symbols for your commodity, refer to contract specifications posted by the exchanges or resources such as FuturesKnowledge.com, which provides a legend of contract

Electronic commerce has been there for a long time now, and it is a practice that is practiced by peoples from Germany, France, and the US on a daily basis. Since its inception around 40 years ago, e-commerce has continued to grow as innovations, technologies and a lot of business reverting to the use of the e-commerce. The aspect of buying and selling of goods in the early 1960s was sluggish with the traditional way of mailing of documents being replaced with the Electronic Data Interchange (EDI), which would later pave a way to the electronic commerce. After the e-commerce, however, the practice was not more reliable as it still had many challenges (Tsolis, 2009). For instance, it was not easy for buyers to see products from the comfort of their homes and more so, the methods of accessing the information were limited.

that prices will begin to decrease in 2012-2013 due to improving crops, and the assumption that prices will remain steady from 2014-2016 (see Appendices I - J for price chart and graphs). Distribution Network The team’s

E-commerce is transactions conducted via electronic means such as the internet, email and SMS. It is considered to be one of the most important aspects of the internet to appear. As a result, people are able to exchange goods and services immediately regardless of their geographic location and time. More and more businesses conduct transactions on line, with some trading purely on-line thus reducing overheads and administrative costs.

Business of different sizes among all major and minor industries continue to enter Electronic Commerce. Digital marketplaces have already torn down the walls within and between companies, bringing together buyers and sellers in one interoperable community (Bezos, 1995), (Omidyar, 1995).

According to Goel and Gutierrez, they investigated that fluctuating procurement price is one of the causes of inventory risk and through trading appropriate numbers of futures or forward commodity contracts reduces inventory related costs for effective hedging. Hedging and the price discovery functions of futures markets facilitates not only a better inventory management but enhances the efficiency of marketing operations, production and storage.