Files
Abstract
Increasing demand for traditional and specialty fruit and vegetable crops has encouraged many financially stressed U.S. farmers to diversify their farm operations to include some form of alternative enterprise. Decisions on whether or not to enter into the production of a new crop are frequently distorted by impractical expectations of returns generally associated with unrealistic estimates of market prices and crop yields. As a result, many of these new enterprises have failed or are only marginally successful. Two relatively simple methods of analysis are presented, which, when combined with the other market evaluation techniques, can provide some insight into the decision of whether or not an enterprise should be undertaken as well as reduce some of the risk of implementing a potentially unprofitable venture.