Post‐merger performance of agricultural cooperatives

Abstract

During the 1990s, the rate of consolidation among agricultural cooperatives, including mergers, acquisitions, strategic alliances, and joint ventures, increased significantly. While post‐merger performance has been examined extensively for investor‐owned firms, this has not been the case for agricultural cooperatives, primarily because these firms do not have an explicit profit motive or publicly traded stock. Results from a two‐stage econometric model reveal that a major motivation for cooperatives to engage in these activities is to circumvent capital constraints. Furthermore, the decision to merge and financial performance are jointly endogenous, with profitability positively influenced and sales growth negatively influenced by the likelihood of merger.

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 30 citations exist upstream.

Papers that cite the same references — the relational fallback while embeddings are still backfilling.