In addition to efficiency, inter-firm synergy, and responsiveness, supply chain participants often express a desire to manage risks as a reason for forming supply chains. The risks may be input/output price risk, quantity/quality risks, and/or safety/health risks. The recent interest in food safety and traceability are often cited as reasons for forming tighter vertical alliances. Agricultural producers often state that reductions in price and volume variability are key influencers in their decision to join a supply chain (Hennessey & Lawrence, 1999; Rhoades, 1995).