• Journal of Agricultural Extension & Community Development
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• v.23 no.3
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• pp.243-255
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• 2016

This study aims to identify the characteristics of businesses influencing the choice of their type in the 6th industry and analyze how they work. This study analyzed data of 752 businesses certified as belonging to the 6th industry in 2015 through the classification and regression tree (CART) algorithm in decision tree analysis. The results of analysis showed that the type of agricultural product processing, region, the type of service, and the production percentage in a province affected a choice of the type. The most important variable that impacted how businesses in the 6th industry chose their type was the type of agricultural product processing, and if a business produced simple agricultural products, it was likely to specialize into $1st^*2nd$ or $1st^*3rd$. Access to large consumption areas was a critical factor in the growth of 2nd and 3rd industrial functions. These findings would contribute to establishing a model to develop the 6th industry and empirically demonstrate the importance of access to large consumption areas for agricultural businesses and rural tourism.