Agribusiness Management Midterm || 100% Accurate
Solutions.
List and define the four functions of agribusiness management correct answers 1. Marketing
management-understanding customer needs and effectively positioning/selling products and
services
2. Financial marketing-making good decisions with financial resources of firm
3. Supply management-push for quality, drive for lower costs and provides the tools
managers need to meet operation challenges
4. Human resource management-managing the mechanics of personnel administration, and
finer points for motivating people to give their full potential
Discuss the food sector and the type of firms we can find on that sector. correct answers -
Food processing, marketing, and distribution occur
-Tracks consumer tastes and preferences
Can find farms, restaurants, as well as registered food manufacturing, processing, and storage
facilities.
Discuss the production agriculture sector. correct answers -Purchased inputs, natural
resources, and managerial talent are combined to produce crop and livestock product
Discuss the input supply sector. correct answers -Provides inputs-both products and services-
to production agriculture
List the reasons the agribusiness sector may be considered unique. correct answers -food as a
product
-biological nature of production agriculture
-seasonal nature of business
-uncertainty of weather
-types of firms
-variety of market condition
-rural ties
-government involvement
How or why could agribusiness and firms outside the agribusiness sectors make different
decisions in similar situations? correct answers the agribusiness sector faces all 8 factors
listed and firms outside the agribusiness sector may face some of the factors but not all of
them
List two examples of specialty agricultural markets, and the changes a conventional producer
might have to make to fill them. correct answers 1. Custom harvesting
2. Applying pesticides/fertilizers
A conventional producer must specialize in one or two skills and become experts at
performing them.
Explain the wheel of management. Are motivation and communication tasks of the
agribusiness? correct answers No, it's planning, directing, organizing, and controlling
, Define management in your own words. correct answers successfully pursuing desired results
with the resources available to the organization
What are the differences in the four tasks of management and the four functions of an
agribusiness? correct answers to be successful the manager must be able to carry out the four
tasks for each of the four basic functions of the agribusiness; which are, marketing
management, financial management, supply management, and Human Resources
management
Do farm and ranch managers need different skills that managers of other businesses? correct
answers Not particularly, however, managers of businesses with employees may need more
personal management skills than a farm operator with no employees.
Define mission statement correct answers spells out the direction the firm wants to take and
describes the destination
What are the main components of the mission statement? correct answers Who we serve,
what we do, and how we do it differently
Why are goals important? correct answers they set the tone for improvement
List some examples of long-term goals for a farm or ranch business. correct answers -
Increasing market share by 20% in three years by expanding our geographic market
-Doubling the number of soybean acres farmed within the next ten years
How and why does planning change as one progresses up the organizational ladder? correct
answers Planning becomes more general and widespread as the ladder gets higher
Explain the difference and similarities among strategic, tactical, and contingency planning.
correct answers Strategic: long term, flexible, written analyses, detailed
Tactical: short term, somewhat flexible, written reports, less detail
Contingency: plan B, provides guidance when unexpected things happen, prepares firm
Deciding if a field is too wet to till today correct answers tactical
Deciding whether to specialize in dairy or beef production correct answers strategic
Deciding whether to take a new partner into a business correct answers strategic
Deciding to price wheat today or wait until a price target is met correct answers tactical
List the 6 steps of the planning process: correct answers 1. Gather facts
2. Analyze facts
3. Forecast change
4. Set goals/performance objectives
5. Develop alternatives
6. Evaluate results
Define policies, procedures, and practices. correct answers Policies: general guidelines for
decision making that guide the thinking process, set boundaries
Solutions.
List and define the four functions of agribusiness management correct answers 1. Marketing
management-understanding customer needs and effectively positioning/selling products and
services
2. Financial marketing-making good decisions with financial resources of firm
3. Supply management-push for quality, drive for lower costs and provides the tools
managers need to meet operation challenges
4. Human resource management-managing the mechanics of personnel administration, and
finer points for motivating people to give their full potential
Discuss the food sector and the type of firms we can find on that sector. correct answers -
Food processing, marketing, and distribution occur
-Tracks consumer tastes and preferences
Can find farms, restaurants, as well as registered food manufacturing, processing, and storage
facilities.
Discuss the production agriculture sector. correct answers -Purchased inputs, natural
resources, and managerial talent are combined to produce crop and livestock product
Discuss the input supply sector. correct answers -Provides inputs-both products and services-
to production agriculture
List the reasons the agribusiness sector may be considered unique. correct answers -food as a
product
-biological nature of production agriculture
-seasonal nature of business
-uncertainty of weather
-types of firms
-variety of market condition
-rural ties
-government involvement
How or why could agribusiness and firms outside the agribusiness sectors make different
decisions in similar situations? correct answers the agribusiness sector faces all 8 factors
listed and firms outside the agribusiness sector may face some of the factors but not all of
them
List two examples of specialty agricultural markets, and the changes a conventional producer
might have to make to fill them. correct answers 1. Custom harvesting
2. Applying pesticides/fertilizers
A conventional producer must specialize in one or two skills and become experts at
performing them.
Explain the wheel of management. Are motivation and communication tasks of the
agribusiness? correct answers No, it's planning, directing, organizing, and controlling
, Define management in your own words. correct answers successfully pursuing desired results
with the resources available to the organization
What are the differences in the four tasks of management and the four functions of an
agribusiness? correct answers to be successful the manager must be able to carry out the four
tasks for each of the four basic functions of the agribusiness; which are, marketing
management, financial management, supply management, and Human Resources
management
Do farm and ranch managers need different skills that managers of other businesses? correct
answers Not particularly, however, managers of businesses with employees may need more
personal management skills than a farm operator with no employees.
Define mission statement correct answers spells out the direction the firm wants to take and
describes the destination
What are the main components of the mission statement? correct answers Who we serve,
what we do, and how we do it differently
Why are goals important? correct answers they set the tone for improvement
List some examples of long-term goals for a farm or ranch business. correct answers -
Increasing market share by 20% in three years by expanding our geographic market
-Doubling the number of soybean acres farmed within the next ten years
How and why does planning change as one progresses up the organizational ladder? correct
answers Planning becomes more general and widespread as the ladder gets higher
Explain the difference and similarities among strategic, tactical, and contingency planning.
correct answers Strategic: long term, flexible, written analyses, detailed
Tactical: short term, somewhat flexible, written reports, less detail
Contingency: plan B, provides guidance when unexpected things happen, prepares firm
Deciding if a field is too wet to till today correct answers tactical
Deciding whether to specialize in dairy or beef production correct answers strategic
Deciding whether to take a new partner into a business correct answers strategic
Deciding to price wheat today or wait until a price target is met correct answers tactical
List the 6 steps of the planning process: correct answers 1. Gather facts
2. Analyze facts
3. Forecast change
4. Set goals/performance objectives
5. Develop alternatives
6. Evaluate results
Define policies, procedures, and practices. correct answers Policies: general guidelines for
decision making that guide the thinking process, set boundaries
