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Abstract

In response to considerable structural changes in the fruit and vegetable industry over the last fifty years, Pro-Fac Cooperative, Inc. has undergone significant adjustments to retain its competitive position and best represent farmer-member interests. Three distinct phases of operations are discussed that include various combinations of agricultural service, food processing, and product marketing activities. In particular, an ownership control rights framework is applied to the cooperative’s expansion into significant national branded product operations, and then to the ultimate decision to seek an outside equity infusion to address growing financial, managerial, and operational constraints facing the cooperative and its members.

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