Ecuador Rose Industry

Document Type:Essay

Subject Area:Business

Document 1

A high plantation of the flowers takes place at the Northern part of Quito while the rest of the plantations is undertaken at the southern part. High availability of water is acquired at the rich melting snow of the Andes where the supply is efficient throughout hence boosting the rate of flower growth. Due to sufficient provision of water, the roses in Ecuador tend to have long buds as well as good colors that have been critical in the world market because of their extended vase life. The natural environment had therefore assisted the prices of the flowers in the country to be valued more than those of the best countries such as Colombia. Furthermore, the physical environment takes care of the flowers due to the fact that there is less rainfall variation all the year round hence the reduction of climatic risks which sustains their development every season.

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Their efforts had been deterred by their largest market that is the United States and hence in some instances, the struggle to sell to wholesalers had been jeopardizing the current sales in the country. Changes such as impractical fragmentation had made it hard for them to acquire the best way of selling the products directly to the retailers. Due to this, there had been fluctuation in the prices of rose flowers season in season out due to the barriers to access direct wholesalers as well as retailers. The competitive nature of an individual will in this case determine the number of sales that will take place to the importers and wholesalers (Franze, 2014). The changes in agreements and trust in the negotiation deals to sell these products often determine the income to the country over time.

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During this period, the prices of the products go high and after the event, the price fell drastically to normal (Wallerstein, 2017). Mother’s day as well led to hiking of rose prices in the country while the demand in the rest of the year is often normal. Another emerging issue that affects the market is the fact that farmers must be able to predict the success of the new varieties so as to plan which variety is best to be grown. In this case, failure to predict the right variety would lead to a decline in demand and supply in the world market. Finally, the demand for fair trade products as well affects the economic market following the TransFair which is a non-profit institution that calls for certification of the farms as well as the use of techniques that promote the welfare of the workers, environment and the communities.

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Famers have to be informed on the types of flowers needed by wholesalers to improve demand and supply. Varieties that are not standard often fetch low prices and hence lost to the farmers and the country. The threats of competitors such as Colombia, new entrants in the market as well as that of substitutes would affect the sales of Ecuador flowers in the global market in future. The state of the world economy requires high technology to maintain competitiveness so as to increase sales in the future among all flower producers. Powerful nations in technology and knowledge would be able to stand out the competition in the future at the world market. , & Ciroth, A. A comparison of cut roses from Ecuador and the Netherlands.

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