Sudden Oak Death In Virginia

1
Sudden Oak DeathIn Virginia

• Brian Booth
• Allison Cyrus
• Jen Bowry
• Mark Brill

2
What ramifications will Sudden Oak Death have on
Virginias Ornamental Nursery Industry?
3
Players In The Game

• Wholesale Markets
• Riverbend Nursery, Saunders Brothers Nursery
• Retail Markets
• Home Depot, Wal-Mart, local garden centers

• Homeowners living in forested areas spreading the
  disease

4
How would the Market be Effected

• Wholesale growers would not be able to produce
  certain oaks and shrubs
• Wholesalers and Retailers would lose income from
  reduced sales
• There would be a decreased supply of certain oaks
  and shrub species
• Demand for substitute trees and shrubs would
  increase

5
Shock to Wholesale Market
S1
S
Consumer
With the reduction of supply, the goods will cost
more and the quantity received by the consumer
will be less
D
S1
S
Retailer
D
S1
S
Wholesale
D
6
Who Loses?

• Wholesalers and retailers would lose sales and
  would have to find alternate sources to
  compensate for lost income
• Consumers would not have as many choices when
  they want to landscape

7
So.. Who wins?

• Wholesalers could adjust their inventory to give
  more plant choices to retailers and consumers
• Retailers could advertise and market alternative
  plants to consumers
• Consumers would benefit through special sales and
  alternate choices from retailers