Is Sustainability Compatible with Profitability? An Empirical Analysis on Family Farming Activity

Abstract

Sustainability is a social concern and a new strategic factor for productive and economic viability. Nevertheless, research on this subject in a holistic approach is limited, and even to a lesser extent when dealing with family farms. This paper analyzes the impact of different aspects of sustainability (socio-economic characteristics, environmentally respectful practices, and innovation) on profitability. The data collection instruments include a survey questionnaire on farming in Almería, a province in Southeast Spain, and the methodology followed involves a two-step regression model. The main results show how several socio-economic and environmental-innovation features of family farms have positive effects on their economic performance. Among others, profitability increases when there are better educated and younger family farm decision-makers; the farm is specialized and supported by more efficient cooperatives: and, particularly, when the family farm displays greater concern for environmental practices and better disposition towards agroecological innovation.

Sectoral analysis of the differences in profitability of Czech and German business ventures – an empirical benchmark study

“…In this way, competitive (dis-) advantages can be addressed, and thus possible starting points for targeted improvements can be provided. The values of these drivers of profi tability result from an empirical database, and the impacts of the observed differences are modelled using the technique of variance analysis, which is a common tool in the fi eld of management accounting (Christodoulou, Clubb, & Mcleay, 2016;Dluhošová, Ptáčková, & Zmeškal, 2015;Ptáčková, 2015).…”

How to Improve Water Usage Efficiency? Characterization of Family Farms in A Semi-Arid Area

“…The first cluster or Group 1, which comprises of the less efficient farms, is less numerous and is characterized by farmers with lower level of education, less innovation, traditional irrigation systems based on farmers' experience, more intensive labor, and less awareness of water scarcity and environmental conservation. On the other hand, Group 2, with the more efficient farms, is larger and is characterized by more educated farmers, more female decision-makers, a greater degree of innovation, new irrigation technology, membership of irrigation communities, and a greater awareness of water issues and environmental sustainability [31]. However, there is no difference between the two clusters in terms of farm scale, age (generation), yield, income and public subsidies received.…”

“…Despite these technological improvements, the results in terms of efficiency are still quite heterogenous among family farms [31]. This suggests that further improvements are required, particularly in light of the decrease in precipitation in the area in recent years [11], and the absence of policies, both regionally and nationally, to develop infrastructures and guarantee water supply in the short term.…”

A Sustainable, Regional Agricultural Development Measurement System Based on Dissipative Structure Theory and the Entropy Weight Method: A Case Study in Chengdu, China

“…Gao [13] also added "environmental protection" to measure sustainability on the basis of the "economy, the society, and resources", and Ittersum [14] added the "system" dimension. While Seghezzo believes that sustainability consists of place, permanence, and person [15], Piedra-Muñoz analyzes the impact of different aspects of sustainability on profitability and holds that sustainability dimensions include socio-economic variables and environmental innovation variables [16].…”