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Input Diversity and Performance in Fish Processing Firms

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  • The supply of raw material to the Norwegian fish processing industry has always fluctuated heavily, both as far as volumes and quality are concerned. These fluctuations have had major impact on planning of for instance product mix and production capacity. Thus, sea farming has been considered a promising alternative source of raw material, as fluctuations in supply to a large extent has been overcome through technological innovations. In this paper we report the findings from a study where degree of implementation of farmed fish as a source of raw material in the fish processing industry is analysed. We also focus on the impact the raw material diversifying strategies has on performance among the fish processing companies. Three different strategic groups of firms are studied; one that only produce wild fish, one that only produce farmed fish, and one that combine the two inputs. Our findings indicate that traditional Norwegian fish processing firms have played a minor role as buyers of farmed fish. On the other hand, new processing plants have emerged that solely utilise farmed fish, and these specialised firms are controlled mainly by the sea farm industry. The findings and implications - concerning both theory and industry - are discussed.
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  • Isaksen, John R., Bent Dreyer. 2002. Input Diversity and Performance in Fish Processing Firms. Peer Review: No. In: Proceedings of the Eleventh Biennial Conference of the International Institute of Fisheries Economics and Trade, August 19-22, 2002, Wellington, New Zealand: Fisheries in the Global Economy. Compiled by Ann L. Shriver. International Institute of Fisheries Economics & Trade, Corvallis, Oregon, USA, 2002. CD ROM.
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