Role of financial variables in explaining the profitability of North Dakota farm supply and grain marketing cooperatives

Gregory McKee, Saleem Shaik, Michael Boland

Research output: Contribution to journalArticlepeer-review

2 Scopus citations

Abstract

This paper examines the profitability of a balanced sample of 58 North Dakota farm supply and grain marketing cooperatives over the period 2003-2007. Our findings reveal that increased liquidity tended to allow farm supply cooperatives to operate more efficiently, but reduced the efficiency of cooperatives which provide farm supply and grain marketing services. These results suggest strategies for cooperatives during times of illiquidity and other credit constraints for achieving profitability objectives.

Original languageEnglish (US)
Pages (from-to)261-272
Number of pages12
JournalJournal of Rural Cooperation
Volume37
Issue number2
StatePublished - Dec 1 2009
Externally publishedYes

Keywords

  • Agribusiness marketing
  • Cooperative
  • Liquidity
  • Solvency

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