The Viability of Niche Marketing Within Global Community Commodity Chains: An Example from Beef

Abstract

The "Comparative Analysis of Commodity Chains" generally conjures up images of comparisons of how two or more commodities are produced and consumed across geographical space and/or time. For example, a comparative analysis of beef commodity chains might consist of a comparison of the contemporary U.S. beef production system with that which existed in the same country during the nineteenth century, or perhaps with the beef system that currently exists among the nomadic peoples of Africa. However, a comparison of the marketing strategies that are employed within a commodity system in the same space and time is rare.

Recent empirical research on the transition from Fordism to Post-Fordism has revealed that there has not been a significant break or transition between the two historically in the sense that PostFordism has eclipsed Fordism. Both forms of production, and a variety of systems that incorporate elements of both, coexist. These differing forms of production may even be dependent upon one another, particularly within the context of globalizing production systems. Consequently, while there is much discussion of "global commodity systems," in fact the global system for any particular commodity can be characterized by variation in what is being produced and what the related social impacts are.

The goal of our research is to shed some light on the nature of this coexistence by analyzing Fordist and PostFordist elements within the U.S. beef industry. Specifically, we contrast the strategies and ideologies of beef industry participants who are experimenting with the production of a differentiated product, i.e., Wagyu beef, for the Japanese and domestic markets, with those who do not. Through this research, we examine a variety of issues, including whether "niche" marketing strategies offer a viable alternative to mainstream commodity systems that are dominated by large, powerful firms.