BUSINESS GROWTH STRATEGIES OF ILLINOIS FARMS: A QUANTILE REGRESSION APPROACH
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This study examines the business strategies employed by Illinois farms to maintain equity growth using quantile regression analysis. Using data from the Farm Business Farm Management system, this study finds that the effect of different business strategies on equity growth rates differs between quantiles. Financial management strategies have a positive effect for farms situated in the highest quantile of equity growth, while for farms in the lowest quantile the effect on equity growth is negative. Cost reduction, asset management and revenue enhancement strategies all proved to have important effects on the determination of growth equity rates.