Asset Specificity and Farmers' Intergenerational Succession Willingness of Apple Management

Understanding the factors behind apple farmers' willingness to pass on the management of their farms to their descendants is crucial to the continuity of apple production. Due to the high specificity of the human capital, physical assets, land assets, and geographical location in apple production, this study used a binary logistic regression and a mediating effect model to explore the impact of asset specificity on farmers' intergenerational succession willingness of apple management (FISWAM) and to examine the mediating effects of loss aversion in the impact of asset specificity on the FISWAM. The results showed that about 18.68％ of the respondents expressed willingness to transfer their apple business between generations, and the FISWAM was generally weak. In addition to the negative impact of geographical location specificity (GLS), human capital specificity (HCS), physical assets specificity (PAS), and land assets specificity (LAS) can enhance the FISWAM. Loss aversion plays a partial mediating role in the impact of PAS, LAS, and GLS on the FISWAM.