Determinants of ICT and Smart Farming Technology Adoption by Agricultural Corporations in Japan

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  • MI Jie
    Laboratory of Agricultural and Farm Management, Department of Agricultural and Resource Economics, Graduate School of Bioresource and Bioenvironmental Sciences, Kyushu University
  • NANSEKI Teruaki
    Laboratory of Agricultural and Farm Management, Department of Agricultural and Resource Economics, Faculty of Agriculture, Kyushu University
  • CHOMEI Yosuke
    Graduate School of Integrated Sciences for Life, Hiroshima University
  • UENISHI Yoshihiro
    Laboratory of Agricultural and Farm Management, Department of Agricultural and Resource Economics, Faculty of Agriculture, Kyushu University
  • NGUYEN Ly Thi
    Faculty of Economics and Rural Development, Vietnam National University of Agriculture

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Abstract

This study identified the determinants of ICT and smart farming (ICT&SF) technology adoption intensity by Japanese agricultural corporations. Primary data were collected from a Japan nationwide questionnaire survey on “Business Development and Innovation in Agricultural Corporation Management” in 2019. Data of 183 agricultural corporations in Japan were analyzed through descriptive analysis and negative binomial modeling. The results showed that 175 out of 183 corporations had adopted at least one ICT&SF technology until 2019, indicating an overall adoption rate of 95.6%. Majority (84.7%) of corporations were limited companies and stock companies, and 86.9% of the corporations were qualified to own farmlands. Regarding the profile of corporate representatives, over one third of the representatives graduated from universities. Based on the empirical results, corporate forms, eligibility to own farmland, sales targets, profit targets, main product and self–evaluation of ICT utilization and information management significantly affected the adoption of ICT&SF technologies adoption. In terms of the characteristics of corporate representatives, those who graduated from specialized schools and vocational colleges tended to adopt more ICT&SF technologies.

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