| Having been developed and innovated for more than 20 years, the agricultural products of our nation have ended the era of shorting supply, and come into the new stage, in which the supply of some agricultural products surplus their demand. Therefore it is the urgent task to foster and innovate agricultural products circulating institution. Based on the current relating studies, this paper definites the concept of circulation and organization institute of agricultural products,discusses their functions, analyzes their institution efficiency and its' affecting factors. This paper also explores the innovation mechanism of institution and try to design new method of agricultural products circulating institution .Among the current agricultural products circulating institution, the integrated organization of production and sale is abnormal, unsteady, and incompact. Also, this kind of institution cannot really delegate the farmer's benefits. The economic cooperative organization is needed by today's society, but most of them belong to community organizations, which have serious administrational tendency and the farmers have little power to make decisions. The farmer's brokers are very popular intermediary organizations. But they are immature and they still have a long way to go. If they want to develop, they must be united. Agricultural products Wholesale market, which is accepted and supported by government, and have great potentials.Agricultural products circulating institutions tend to be of incorporation, e-commerce, orderlization, and management industrialization in the twenty-first century. Considering the general tendency and the current situations, this paper puts forward the procedure of innovation of agricultural products institutions. The following are the innovation thoughts of agricultural products circulating institution: firstly, "market interlization" and "inter-company market"; secondly, agricultural products wholesale market should become the central of agricultural products circulating institution; thirdly, integrate all kinds of agricultural products intermediate organization into a integrated enterprise. According to transaction cost theory and supply chain model theory, this paper puts forward it's own theoretical framework. This framework integrates the farmer's broker, agricultural organization of transporting and selling, etc. into agricultural products wholesale market and make them become the windows before producers and consumers. There are four patterns of trade: face to face trade, futures trade, auction trade, and e-commerce. Any market can use 2-3 patterns or all of them. The running conditions of the new framework include high efficient system of information, developed physical distribution systems, competent entrepreneur, safety and high quality product and government' supports. The meanings of thisinnovation lies in the following aspects. First, it can reduce the management cost, shorten circulating time, save transaction cost; Second, it helps to get equilibrium prce; Third, it is beneficial to exerting functions of wholesale markets; At last it is favorable of improving the product's quality.Agricultural products wholesale market is the center of all agricultural products circulating institutions. Because of it's importance, this dissertation studies it specially. Through the study, I find some new characteristics of agricultural products wholesale market, which are orderlized, e-traded and innovated through shares. Also, I find some problems such as shorting of self-developing and institutional innovation impetus. At last, I put forward the solving plan from the aspects of government and circulating institutions themselves.The government's functions are supplying of policy and controlling of the whole economic. The government is very important in the institutional innovation of agricultural products circulating institutions. If it is the compelled transition of institution, the government will be the main body; if it is the induced innovation, the government shoul...
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