Articles
BREAKING DOWN MARKET BARRIERS FOR ELDERBERRY GROWERS AND PRODUCERS
Article number
1061_30
Pages
269 – 277
Language
English
Abstract
Based on a national elderberry (Sambucus Canadensis) market research study and using qualitative data analysis tools, this paper focuses on understanding market barriers for elderberry producers and processors in a young and rapidly growing industry.
Our research concentrated on understanding the motivation, challenges and unforeseen opportunities of the small number of entrepreneurial firms in the elderberry market.
Understanding the market barriers creates advantages for current and potential market participants.
Twenty in-depth phone interviews were analyzed with NVivo 8, a qualitative data analysis software tool, which facilitated a rigorous and efficient approach to data analysis.
Results indicate that entry barriers are consistent with those in an established, competitive industry such as economies of scale, cost advantages for existing firms, the investment needed for start-up, the lack of technical and market information, and steep learning curves.
In addition, the high level of uncertainty that characterizes a nascent industry, including the reluctance of banks to provide loans, existing prejudices, and low awareness of elderberry and its properties, pose extra challenges to entering and succeeding in the marketplace.
Although the findings presented are based on exploratory research, they do help to shed light on the challenges and opportunities that exist in a nascent industry and provide suggestions to overcome these challenges.
Our research concentrated on understanding the motivation, challenges and unforeseen opportunities of the small number of entrepreneurial firms in the elderberry market.
Understanding the market barriers creates advantages for current and potential market participants.
Twenty in-depth phone interviews were analyzed with NVivo 8, a qualitative data analysis software tool, which facilitated a rigorous and efficient approach to data analysis.
Results indicate that entry barriers are consistent with those in an established, competitive industry such as economies of scale, cost advantages for existing firms, the investment needed for start-up, the lack of technical and market information, and steep learning curves.
In addition, the high level of uncertainty that characterizes a nascent industry, including the reluctance of banks to provide loans, existing prejudices, and low awareness of elderberry and its properties, pose extra challenges to entering and succeeding in the marketplace.
Although the findings presented are based on exploratory research, they do help to shed light on the challenges and opportunities that exist in a nascent industry and provide suggestions to overcome these challenges.
Publication
Authors
M.M. Cernusca, M.A. Gold
Keywords
market analysis, specialty crop, qualitative research, barriers to entry, NVivo, nascent industry
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