The economics of the marketing sector
This chapter will detail the economics of the marketing sector. It deals with all the other costs that contribute to the price of the ﬁ nal product beyond raw materials and processing costs. Costs such as advertising, packaging, transportation, selling, and administrative costs have to be accounted for in proper pricing, or companies will fall short of their proﬁ t targets. This chapter also focuses on the multiple levels of the food industry on both the supply and demand sides of the market; thus, this chapter covers how to analyze markets with farmers, processors, wholesalers, regulators, and retailers all interacting with a product as it moves through the food industry on its journey from farm to consumer.