Recently, we see some rural businesses, which are managed by local people. They make processed food with local agriculture products and sell them by themselves. In this paper, these kinds of movements are termed “Agricultural Business with Local Traditional Food”. The aim of this study is to analyze the conditions and objectives of these activities. Two sites, the “Kitamura Kibi Kobo” (a processed-food maker) and the “Oshokujidokoro Kitamura” (a farmer's restaurant), in the Kita locale of Miyama town in Kyoto prefecture are researched. Farmers sell their own agro products to the restaurant and have some places to sell the processed foods, which are made by them.
According to the results of the study, for the processed food, visitors expect local traditional food, safe agricultural products and processed foods without chemical preservatives. For the restaurant, customers demand good taste and the use of local or natural ingredients. Local dishes have to be prepared in the traditional way with the knowledge of local people. With regard to the point of local economic development, for the processed food aspect, local farmers have to be fully involved and must take the initiative for this activity. For the restaurant, they must have close contact with the local farmers and be provided with local materials to meet the demands of the customers.

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It has been criticized that urban-rural interactions practiced nationally do not lead to endogenous development of rural areas. Part of the reason for this inefficiency is that the external interventions such as overtaking of planning and implementing the activities deprive rural residents of spontaneity. While public institution still plays important roles in developing rural area, the establishment of a mechanism that stimulates the spontaneity of parties concerned is desired.
The purpose of this paper is to evaluate the activity type classified as “school, ” which stimulates symbiosis and the complementary relationship of urban and rural residents, and to consider a process of spontaneity formation by rural residents. The study is based on the case of “The School of Black Soybean” in Sasayama city, Hyogo.
The results are as follows: (1) The urban-rural interaction in “school” promoted the mutual understanding among both residents, and helped form spontaneity of rural residents. (2) Rural residents evaluated the activity based on economic efficiency and sociality. In this case, the rural residents interviewed counted sociality rather than economic efficiency, and as a result they carry out active management aiming at the school activity itself. (3) The interaction of school style is a system suitable for improving sociality. Although there were some differences among individuals, the results tend to show that the school style stimulated spontaneity of local residents.
Based on the cognitive structure of rural residents observed in the case, a hypothesis on the development structure of urban-rural interactions that is driven by external intervention is derived.

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The objective of this study is to construct the logic behind the diversity of rural agricultural organizations by analyzing the efficiency of reorganizing activities based on the Influence-cost approach.
The conclusions pointed out are as follows: 1) Influence-enhancing activities conducted by the members of the organization take the form of a trade-off between Influence-cost and productivity, which inevitably renders the reorganizing activity less inefficient. 2) Influence-cost contributes not only to the possibility of reorganization, but also to how it is designed and how it functions. 3) It is difficult to implement reorganization when the Influence-cost factor exceeds the benefit of reorganization, even if an organization is currently in dire need of reorganization. 4) In order for reorganization to proceed efficiently, it is necessary not only to coordinate the influence-enhancing activities among players but also to restrict the leeway players are allowed to carry out such influence-enhancing activities.
Two additional findings specific to the case are worth mentioning: 1) A combination of the degree of productivity in farming and the degree to which members cooperate will influence the efficiency, function and ex-post designs of reorganization, in areas less favorable for farming.
2) In order to improve the efficiency of reorganizing activities, organizations in areas less favored for farming should increase the rent by building up close cooperation among farmers. Meanwhile organizations in productive areas should reduce the influence cost by designing more loosely structures of organization and business.

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