For several years, the US government has been lowering its price suppo
rts on dairy products. The result has been a relatively good balance n
ationally between supply and demand. However, some seasonal shortages
of local and regional supplies of milk are beginning to emerge. As der
egulation continues, communities will be forced to take actions to ens
ure an adequate local supply of milk and to rationalize the systems of
production, processing, and marketing. To address issues of competiti
veness and capacity, it is useful to view the dairy community as a soc
io-economic unit composed of several systems and sub-systems that toge
ther compete with other communities for segments of the global market.
These systems involve complex interrelationships and multiple discipl
ines. The community has both place and virtual characteristics. Some o
f the tools used to construct a world class dairy community from its c
omponent sub-systems include community economic development, total qua
lity management, strategic planning, and strategic alliances. The glob
al information systems used to transfer technology to dairy communitie
s are often urban based and come with urban values and points of view
that can be inappropriate in a rural culture. If local dairy communiti
es are going to be world class competitors, then the members of the lo
cal, virtual, and global communities involved must have an appreciatio
n of the cultural differences. Successful dairy communities of the fut
ure will use production and information technologies and management sy
stems to compete in the global marketplace.