Monday, November 24, 2008

Nursery and Greenhouse - Challenges and Opportunities II

This is a continuation of the post on challenges and opportunities for the greenhouse and nursery industry with the current economic conditions and looking into the future.
  • Nurseries and greenhouses need to re-focus on their core business. Identify your core customers and work closely to retain them.
  • This is definitely the time for a full business analysis. Find out your profit centers and areas where money is being lost. Re-think practices where you are not profiting.
  • There is a re-alignment of markets from West coast to East coast because of transportation cost. Local production of materials such as liners may be advantageous and economically viable again. Look to possible local or regional advantages.
  • If your business is in good economic shape, now may be the time to expand in the nursery business and have materials available for 3 years down the road when we come out of recession. However, be careful in your planning and consider where the market may be.
  • Regulatory and environmental initiatives such as green roofs may open up opportunities for production. Look back into urban settings for these opportunities.

Gordon Johnson, Extension Agriculture Agent, UD, Kent County

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