Study on the Earning Distribution Mechanism of Vertical Integrated Agri-Food Processing Company

摘要

For a vertical integrated animal production firm, a reasonable earning distribution mechanism will guarantee the operational efficiency of the industrial chain. In this study, the project investment theory is applied to examine the interest relationships between the integrated firm and the individual farmers, analyze the cooperative conditions among the related entities, and propose the optimal earning distribution mechanism. This study method can be applied to the analysis on the interest relationship between the integrated company and other beneficiary entities and the analysis on other vertical integrated agricultural production companies such like fruit processing firms.