AgEcon News
Enterprise Development Team:
Focusing On Economic Sustainability Through Entrepeneurship
The farming world is rapidly changing and the margins for commodity production
continue to narrow. In the face of this steady march, one Indiana farmer
observed that not only did he need to re-invent his farm, but also he needed
to know how to re-invent his farm. As margins narrow, what are the choices?
There are two broad strategies that can be used to maintain incomes - expand
the size of the business or engage in production of items that have greater
margins. This second strategy is the focus of this article.
The Agricultural
Economics Department is playing a major role in the School of Agriculture's
effort to preserve economic sustainability. There is a new Cooperative
Extension Service (CES) Enterprise Development Team co-chaired by Joan Fulton,
Associate
Professor of Agricultural Economics. In addition, Craig Dobbins, Professor
of Agricultural Economics, currently serves as the co-chair of the CES
Alternative Agriculture Common Interest Group. In this role he has also organized
CES
staff development sessions in marketing management and entrepreneurship.
One of the main challenges for the Enterprise Development Team
is to improve the economic sustainability of Indiana agriculture by promoting
and nurturing
entrepreneurship. The team, which includes Purdue faculty from several disciplines
and CES County Educators, will focus on improving the entrepreneurial and
managerial skills of community leaders, extension educators, and business
managers.
In addition, the team will assist Indiana citizens and rural
communities in developing new business opportunities. Numerous possibilities
exist for
business development including: o Production of higher valued crops such
as vegetables or fruits. o Direct marketing for products.
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Engage in value-added
processing of commodities that are currently being produced.
-
Join
with other producers to buy inputs, sell products, or control
critical resources.
-
Expand current activities on the farm to provide the service
to others.
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Provide agri-tourism opportunities and other forms of
entertainment.
These
new and expanded areas of focus in entrepreneurship and new enterprise
development complement ongoing educational programs of the department. Professors
Mike
Boehlje and Allan Gray, along with Alan
Miller, a farm business management
specialist, deliver extension programs in finance and business strategy.
In addition, department faculty teach undergrad courses in
strategy, business plan development and financial and marketing management.
Many of the department
graduates return to Indiana farms with this improved knowledge base.
The overall goal is to ensure that the Indiana citizens have the knowledge
and skill level to evaluate potential business opportunities in an effective
and timely manner, successfully develop these business opportunities
into
viable business entities, and manage these new businesses for sustained
profitability.
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