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Growth and diversification in New Zealand's agriservice industry : a thesis presented in partial fulfilment of the requirements for the degree of Master of Arts in Geography at Massey University

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GROWTH AND DIVERSIFICATION IN NEW ZEALAND'S AGRISERVICE INDUSTRY

A Thesis Presented in Partial Fulfilment of the Requirements for the Degree of Master of Arts in Geography

at Massey University

Colin Terence Campbell 1979

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i i

ACKNOWLEDGEMENTS

I would like to dedicate this thesis to my wife Nan and thank her for her support and encouragement throughout my university studies.

I thank my Supervisor Richard Le Heron for his forthright

direction and his ability to lead by example. Also to the Geography Department Staff who have assisted me in many ways in the past,

especially Patricia Driscole, my typist, on whom I have relied heavily to complete this research.

I owe special thanks to the Companies for their ready assistance to supply information and spend long periods of time with me in inter- views.

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TABLE OF CONTENTS

ACKNOWLEDGEMENTS TABLE OF CONTENTS LIST OF TABLES LIST OF FIGURES CHAPTER 1

INTRODUCTION: AIMS AND HYPOTHESES The Agriservice Industry CHAPTER 2

FRAMEWORK AND METHODS

CHAPTER 3

Corporate Growth and Strategy Nature of Diversification

Structural Changes: A Response to Diversification and Growth

A Behavioural Approach: Spatial Consequences

The Development of Agribusiness The Agriservice Industry

SPATIAL EXPANSION 1840-1874 1875-1899 1900-1924 1925-1949 1 9 5 0-19 77 / 7 8 CHAPTER 4

RESULTS OF GROWTH OF THE AGRISERVICE INDUSTRY IN NEW ZEALAND

Section 1:

Section 2:

Section 3:

Section 4:

CHAPTER 5

CONCLUSION APPENDICES

Corporate Growth and Strategy Change Diversification

Structural Changes and Responses to Diversification, Growth and Strategy Agriservice Industry in New Zealan~

PAGE ii iii

V

vi

1 4

7 7 9

10 14 17 19

28 28 33 38 43 47

53 53 58 60 70

74 81

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iv

PAGE

BIBLIOGRAPHY 84

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TABLE 2. 1 2.2 2.3 4. 1 4.2

4.3 4.4 4.5

LIST OF TABLES

Organisational Category of Firms Firm Categories Compared

Chronology of Fluctuation 1840-1914

Generalised Growth Strategies of Agriservice Companies Agriservice Firms that have Moved into the Capital Market

Firm Activities as a Percentage of Annual Turnover Company Structure, a Limit to Growth?

Hindrances to Company Activities in Agricultural Sector

PAGE 11 13

22 62

64 66 68 72

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FIGURE 1.1 2. 1

2.2

2.3 2.4 3. 1

3.2 3.3 3.4 3.5

LIST OF FIGURES

Model: Illustrating Spatial Growth of Firms

Estimated Percentage of Firms in Each Organizational Class, 1949-1969

Spatial interaction, organizational growth and thresholds to development

Export Receipts 1910-1946 Export Receipts 1947-1976

Spatial Expansion of Agriservice Firms Pre 1875 Spatial Expansion of Agriservice Firms 1875-1899 Spatial Expansion of Agriservice Firms 1900-1924 Spatial Expansion of Agriservice Firms 1925-1949 Spatial Expansion of Agriservice Firms 1950-1978

vi

PAGE 2

12

16 24 25 31

36 42 46 51

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