Determination of breeding strategies for beef cattle bull breeders sellingbulls into two competing markets on a non-linear price grid

Computer simulation was used to suggest potential selection strategies for beef cattle breeders with different mixes of clients between two potential markets. The "traditional" market paid on the basis of carcass weight (CWT) , while a "new" market considered marbling grade in addition to CWT as a ba sis for payment. Both markets instituted discounts for CWT in excess of 340 kg and light carcasses below 300 kg. Herds were simulated for each price c ategory on the carcass weight grid for the new market. This enabled the est ablishment of phenotypic relationships among the traits examined [CWT, perc ent intramuscular fat (IMF), carcass value in the traditional market, carca ss value in the new market, and the expected proportion of progeny in elite price cells in the new market pricing grid]. The appropriateness of breedi ng goals was assessed on the basis of client satisfaction. Satisfaction was determined by the equitable distribution of available stock between market s combined with the assessment of the utility of the animal within the mark et to which it was assigned. The best goal for breeders with predominantly traditional clients was a CWT in excess of 330 kg, while that for breeders with predominantly new market clients was a CWT of between 310 and 329 kg a nd with a marbling grade of AAA in the Ontario carcass pricing system. For breeders who wished to satisfy both new and traditional clients, the optima l CWT was 310-329 kg and the optimal marbling grade was AA-AAA. This combin ation resulted in satisfaction levels of greater than 75% among clients, re gardless of the distribution of the clients between the traditional and new marketplaces.