What is Marketing? All activities involved in the production & flow of goods & services from point of production to consumers Developed by Paul Armah Marketing of Agricultural Commodities It involves anticipating customers needs & wants & findings ways to satisfy these needs.. profitably -Anticipating - Needs & Wants - Management Process - Customer Satisfaction - Profitability

Marketing Involves Non-agricultural Marketing; Agricultural Marketing; Agribusiness Marketing Non Agricultural Marketing Defined: All activities involved in the production & flow of non-agric goods & services from point of production to consumers. Developed by Paul Armah

Agricultural Marketing Defined: It is the connecting link btwn farmers & consumers or performance of all activities involved in the flow of food pdts & services from point of initial pdn until they are in hands of consumers Involves 2 activities …. Developed by Paul Armah

1.Physical Distribution: Includes processing, handling & transfer of farm products from farmers to consumers. 2. Economic Exchange: Involves exchange & price- setting activities. Developed by Paul Armah

Food Marketing Channel Farmers Sell products through Assemblers & Brokers Sell to Food & Processors Food Processors Distribute to brokers & wholesalers, Wholesalers Sell to Grocery & Specialty Food Stores, Restaurants & Institutions Consists of firms & their functions that form industry. Retailers Sell to Consumers Its the food marketing or distribution system.

Agribusiness Marketing Is the marketing of supplies & services to & from the farm producer. Its a blend of agric. & non-agric. marketing. Developed by Paul Armah Agribusinesses add utility or value to farm product to enable consumers buy the preferred product (Form) in the right place (Place), at the right time (Time) & at the right price (Price)

The Agribusiness Industry Developed by Paul Armah Input Sector Production Sector Processing & Manufacturing Provide inputs that agric producers need Farm Sector: Produce crops & livestock Transform & distribute pdts to consumers in desired form

An a rea for organizing business activities & for answering basic economic questions of what, how, & how much to produce, & distribute it. Thus a market may be defined by: Ô a. A Location (e.g. Jonesboro market) Ô b. A Product (e.g. the grain market) Ô c. A Time (e.g. August soybean market) Most important feature of a market is Economic: i.e. its pricing & exchange activities. Market

Productivity of Agric Marketing Is Agricultural Marketing Productive? 1. Parasitic View: Activities performed in the marketing channel is often viewed as ‘parasites’ or unproductive. This is not true. 2. Utility View: Economists define production as utility creation. Utility is classified into: Form, Place, Time & Possession. Form Utility: Hog producers & sausage processors create form utility - change raw material to useful pdt Place Utility: Railroads & truckers add place utility by moving pdts from producers to consumers Developed by Paul Armah

Time utility: Packers may freeze & store pork & supermarkets may also hold sausage for the future. These are time utilities. Possession utility: A wholesaler seeks out a retailer who finally sells the sausage to consumers. By transferring the sausage these people are adding possession utility. Thus all those involved in moving the pdt to the right place, at the right time and in the right form in order to produce the final utility to the consumer are productive. Developed by Paul Armah