Agroindustrial project analysi

192 AGROINDUSTRIAL PROJECT ANALYSISEl When does it flow through?O Can the flow meet the project's requirements?What does the analysis of channel power reveal?O How much power does each participant in the system have?El How is it spread?E What is the basis of power for each participant?El What is the basis and strength of the project's power?Should producers integrate vertically backward?El How much will control of quantity, quality, and timing improvewith integration?El How far back should the producers integrate?E How much additional fixed investment will be required tointegrate?El How much additional working capital?El How might integration reduce the project's flexibility in obtainingsources of raw material?E What are the economic and operational risks of a decrease inthis flexibility?El How will integration affect variable and fixed costs?El How will integration affect the plant's break-even point?E Is integration politically feasible or socially desirable?Are there producers' organizations?El How organized are producers?El What are the goals and activities of existing producers' organizations?El What are the barriers to organization?El What incentives can the agroindustry provide to facilitateorganization?El How can the producers' organization be a vehicle for communicationbetween factory and farmer?El How can the producers' organization transmit services orquality-control functions?E How can the producers' organization aid in economic bargaining?Should farmers integrate vertically forward?El What are the financial and managerial requirements for suchintegration?E What are the benefits?