Effects of flood‐induced financial stress on the viability of a cooperative production system and its farmers: A multilevel study

Abstract

Floods can severely disrupt agricultural activities. When these activities are part of production chains, domino effects can occur. We use agent‐based modeling to simulate the production dynamics of a French cooperative winery as an example of a production chain, adopting a dual individual‐collective perspective. The cash‐flow analysis shows that there are nonexplicit mechanisms in the cooperative organization that allow the propagation of flood impacts throughout the chain and influence the winegrowers' ability to cope, thus threatening the continuity of the winegrowers' activity and the cooperative winery itself.