Determinants of Australian Family Farm Growth: The Role

  • 102 pages

  • Published: 1 Sep 2000

  • Author(s): Tanewski, George A, et al

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A key finding of this study is that farm enterprise growth is significantly associated with
sophistication of business planning. However, farm owner characteristics such as age and
levels of education and farm business characteristics such as farm size also play an important
role as determinants of business planning. Furthermore, the report reveals that the primary
reason for conducting sophisticated business planning is not because of self-motivation, but as
a result of lender requirements.
Thus, one of the key recommendations of this report is that farm owners should be
encouraged to develop more sophisticated long-range business plans because this process
leads to a decrease in uncertainty regarding the farm business environment, assists in
minimization of risk, and enhances farm growth.

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