Joint product management strategies for E-coli O157 and feedlot profits

The objective of this study was to investigate the associations of management strategies on Escherichia coli O157 and feedlot profits. Management practices that affect cattle performance were identified using ordinary least squares regressions, while a negative binomial regression was used to identify management practices that were associated with E. coli O157 prevalence. Findings support the hypothesis that E. coli O157 occurrences in the feedlot were not directly associated with cattle performance in the feedlot, which suggests potential for a downstream production externality problem. General categories of management strategies were associated with cattle performance and E coli O157 occurrences and were consistent with past research. As implementation of enhanced food safety regulations potentially shift responsibility of ensuring safety of the food supply from a government based agency onto private firms, a portion of the costs of E coli O157 outbreaks is likely to shift to feedlots in the future. (c) 2006 Elsevier Ltd. All rights reserved.