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The impact of deregulation on a primary industry: a New Zealand apple industry perspective

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Date

2004

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Te Herenga Waka—Victoria University of Wellington

Abstract

This thesis examines the impact of deregulation on the New Zealand apple industry. The purpose of this research is to 1) develop an understanding of the impact of deregulation on industry structure, 2) examine the evolution of relationships between industry participants, 3) consider the changes made to export marketing strategies and 4) ascertain what factors influence the exporter choice of growers. This exploratory research utilised a qualitative methodology and applied the multiple interview logic of replication and extension to undertake the in-depth interviews and semi structured questionnaires that generated the results. The findings suggest that the impact of deregulation is extensive and affects a number of aspects of the apple industry. The structure of the industry has altered dramatically with new participants moving into the industry and an increase in collaboration and integration between growers, service providers and exporters. The importance of relationship formation emerged, specifically as a means of ensuring long-term sustainability and competitive advantage. Traditional export marketing strategies have evolved to reflect the apple industry's different needs, including greater grower control over exporting decisions and new export destinations. The findings also reveal the key influences on the choice of exporter, which include marketing and exporting, finance, quality and structure, and suggest that different firms will choose different exporting channels and strategies depending on their circumstances. The findings of this research provide insightful new thinking in the area of primary industry deregulation, expressing a range of views on a number of salient issues facing many New Zealand primary industries. They specifically identify the range of exporting options available to newly deregulated industries and provide direction on how industry relationships may evolve in the future.

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Keywords

Trade regulation, Apple industry, Deregulation, Fruit growers

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