AN ANALYSIS OF THE MARKETING OPTIONS OF DUCK EGG PRODUCERS

IN LAGUNA, 2016
Mikaela Amihan S. Arrosa and Ma. Eden S. Piadozo

ABSTRACT

The study involved an analysis of the different marketing options of duck egg
producers in Laguna. A cluster analysis was employed to classify the producers based on their
marketing options. A partial budget analysis was performed to determine the most profitable
choice for the Basics to shift to among the remaining marketing options. A Chi-square test of
independence, along with effect size examination, was used to determine the factors
influencing the choice of marketing options.

The five clusters of homogenous producers in terms of their marketing options are: (1)
Basics, who sell only fresh duck eggs and have them picked-up at their farm by processors, (2)
Open Basics, who also sell only fresh duck eggs, but deliver them to processors, (3) Loyal
Basics, who sell fresh eggs and deliver them to wholesalers, (4) Seekers, who sell both fresh
and processed eggs, deliver the processed eggs to wholesaler-retailers, while the remaining
fresh eggs get picked-up at their farm by processors of other delicacies such as leche flan, puto,
etc., and (5) Seekers 2.0, who sell both fresh and processed eggs, deliver processed eggs to
wholesalers, while the remaining fresh eggs get picked-up by retailers at their farm. The net
change in profit was highest in shifting to the marketing options of the Seekers among the other
alternatives, which was ₱1.44 per egg.

The Chi-square test showed that distance from the market, ownership of vehicle, social
capital, information access, and price received influenced the producers’ choice of product
form. Among these, the price producers received had the largest effect size, which means that
it is the most influential in the choice of product form. Choice of market outlet depended on
distance from the market, ownership of vehicle, information access, and price received. The
most influential among these was ownership of vehicle. Distance from the market was the only
significant factor when it came to mode of sale chosen. Price received was the only variable
that exhibited association with the mode of payment chosen. Distance from the market and
ownership of vehicle affected the producer’s choice of providing marketing services.
Considering the effect sizes, the price received by producers is the frequent variable that was
highly influential, implying that their chosen marketing options is motivated by a higher price.

The results of the study show that the duck egg producers should have more access to
market price information. This can be done through the Agriculture and Fisheries Market
Information System (AFMIS), a program under our Department of Agriculture. To further
improve the bargaining power of the producers, the producers should initiate efforts in
fostering collective action through cooperatives.

This abstract draws from the author’s undergraduate thesis “An Analysis of the Marketing Options
of Duck Egg Producers in Laguna, 2016”, Department of Agricultural and Applied Economics,
College of Economics and Management, University of the Philippines Los Baños, 2016. Prepared
under the supervision of Dr. Ma. Eden S. Piadozo (edenpiadozo@yahoo.com).