Dr. Michael Seipel
3082 Magruder Hall
785-4316 (Office)
mseipel@truman.edu
COURSE OVERVIEW
This course focuses on the operation and management of the agricultural business. The basic economic and business principles governing profitable and sustainable farm and agribusiness operations are emphasized.
PREREQUISITES
AGSC 260 (Agricultural Markets and Products), ECON 130, or ECON 201 (Microeconomics)
COURSE OBJECTIVES
- To introduce to students the fundamental economic, financial, and organizational principles governing the operation of business entities, and demonstrate their specific application to businesses in the food and fiber system.
- To assist students in developing a comprehensive business plan, which will serve as a means of demonstrating the relevance of the concepts being discussed in class and as a template for a business enterprise that the student may wish to undertake in the future.
- To cultivate in students an “entrepreneurial attitude” which will encourage innovation as they combine their knowledge, ideas, and skills to develop solutions to economic issues in the food and fiber system.
- To build students’ problem-solving and team-working abilities through group activities and oral and written presentation of ideas and concepts.
James G. Beierlein, Kenneth C. Schneeberger, and Donald D. Osburn. 1995. Principles of Agribusiness Management, Second Edition. Prospect Heights, IL: Waveland Press.
Reading assignments by day are given under the course outline. This schedule represents approximately the pace at which we should move through this material, but is subject to modification as the semester proceeds. Readings assigned for a particular day should be done before class that day, because this is the material that will be discussed in class that day.
COURSE OUTLINE
Week | Topic | Readings | Due |
1 | Introduction to the Course What is entrepreneurship? | ||
2 | Agribusiness System Overview Functions of Management Marketing Review | Chapter 1 pp 4-19 Chapter 2 pp 22-32 Chapter 3 pp 36-46 | |
3 | Demand Analysis Review Forecasting | Chapter 3 pp 46-54 Chapter 4 pp 56-76 | |
4 | Budgeting Budgeting/Review Exam 1 | Chapter 5 pp 78-89 | Exam 1 |
5 | Business Types Choosing a business type Cooperative Business Structures | Chapter 6 pp 94-111 Chapter 7 pp 114-20 Chapter 8 pp 122-137 | Business Plan Proposal |
6 | Economic Decision-Making Principles Break-even Analysis Team Presentations | Chapter 9 pp 142-152 Chapter 10 pp 154-165 | Team Project 1 |
7 | Break-even Analysis Financial Statements Financial Statements | Chapter 10 pp 165-176 Chapter 11 pp 178-186 Review pp 178-186 | |
8 | Accounting Information Systems Financial Ratios Financial Ratios | Chapter 12 pp 188-202 Chapter 12 pp 203-208 Chapter 12 pp 208-214 | |
9 | Financial Ratio Applications Review Exam 2 | Exam 2 | |
10 | The Business Plan | ||
11 | Business Plan Work Day Capital Budgeting Capital Budgeting | Chapter 13 pp 216-225 Chapter 13 pp 226-229 | |
12 | Capital Budgeting Applications Capital Budgeting Applications | Chapter 14 pp 232-237 Chapter 14 pp 237-246 | |
13 | Capital Budgeting Applications Managing and Supervising Employees Managing and Supervising Employees | Chapter 14 pp 246-251 Chapter 15 pp 256-273 Review pp 256-273 | Business Plan Draft |
14 | Business Plan Work Day Staffing and Personnel Issues Managing a Successful Agribusiness | Chapter 16 pp 276-287 Chapter 17 pp 292-297 | Exam 3 |
15 | Managing a Successful Agribusiness Team Presentations Review | Chapter 17 pp 297-301 | Team Project 2 Final Business Plan |
16 | Exam 3 | Exam 3 |
BASIS FOR STUDENT EVALUATION
Possible points for the course are as follows:
| Item | Points Possible | Pct. Of Final Grade |
| In-class Exams (3) | 300 | 60.0% |
| Business Plan (Final) | 100 | 20.0% |
| Team Case Analyses (2) | 40 | 8.0% |
| Business Plan Proposal and First Draft | 40 | 8.0% |
| Discussion and Class Participation | 20 | 4.0% |
All deadlines and examination dates must be met unless you make prior arrangements with the instructor and have a valid excuse from the Dean of Students. Material covered during class discussion periods is integral to the content of the course. Therefore, attendance at and participation in class sessions is expected and required, and will affect your grade through discussion and participation points. Final grades will be calculated on a straight scale (A= 90%+, B=80-89.9%, C=70-79.9%, D=60-69.9%, F=Below 60%).
TEAM CASE ANALYSIS
Students will analyze, in teams of two to three persons, written cases that describe a problem situation for an agribusiness firm. The group will propose solutions to the situation facing the firm and justify its decision using principles covered in class. Each group will write up their conclusions in a short (2 to 3 page) paper and present their findings to the class.