Case Studies of Value Added Production and Marketing

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CASE STUDIES OF VALUE ADDED PORK PRODUCTION & MARKETING For more information: National Pork Board P.O. Box 9114 Des Moines, IA 50306 USA PHONE: (515) 223-2600 FAX: (515) 223-2646 E-MAIL: porkboard@porkboard.org WEB: www.porkboard.org © 1999 National Pork Board No Portion of this manuscript may be reproduced without the written permission of the National Pork Board.
CASE STUDIES OF VALUE ADDED PORK PRODUCTION & MARKETING Introduction and Acknowledgments In 1997, the manual “Front-End Guidance for Value-Added Networks -- Marketing Pork to the Mexican Consumer in the United States” was published by NPPC. It’s goal was to introduce the strategic concept of pork producers evolving to create and capture greater value from the end products of pork production. It was developed as an actual market evaluation of pork consumption by Hispanic consumers in the U.S. However, it focused exclusively on the concepts and techniques of market identification and evaluation for value added potential. Missing was an investigation of the execution of value-added production into the identified market. In an effort to gain insights into execution of a value-added chain to the final consumer, the current case study analysis was undertaken. Case studies of existing firms offer the opportunity to generally describe and analyze the complex managerial and production practices necessary to successfully operate in an expanded market. Five firms were initially identified as case study participates, primarily based on the characteristics of their operations. However, two candidates declined to participate due to disclosure concerns. We gratefully acknowledge the participation and openness of the three participating cases: Goridto ’ s Meats, The Egg & I Pork Farm, and Nahunta Pork Center. Every effort has been made to assure accurate descriptions and evaluations of their operations. Any errors and omissions are the responsibility of the author. I Brian Buhr Associate Professor Department of Applied Economics University if Minnesota St. Paul, Minnesota 55108-6040 (612)625-1273 bbuhr@dept.agecon.umn.edu
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Page 5 and 6: Customer Service Cost Structures Ul
Page 7 and 8: Case Study Summary Issue Nahunta Go
Page 9 and 10: Unit of Analysis: Pork producers ac
Page 11 and 12: 7. Is there ongoing customer respon
Page 13 and 14: Marketings of swine in Utah have in
Page 15 and 16: Although unrelated with the Utah Po
Page 17 and 18: The following table illustrates the
Page 19 and 20: The packing plant purchased is loca
Page 21 and 22: typical supermarkets. The two LaRan
Page 23 and 24: Pricing Consistent with the earlier
Page 25 and 26: As with many producers, they faced
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Page 45 and 46: Exhibit B - Packing plant layout -
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Page 51 and 52: Case Study Summary Issue Nahunta Go
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Unit of Analysis: Pork producers ac
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7. Is there ongoing customer respon
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Marketings of swine in Utah have in
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Although unrelated with the Utah Po
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The following table illustrates the
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The packing plant purchased is loca
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typical supermarkets. The two LaRan
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Pricing Consistent with the earlier
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As with many producers, they faced
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Exhibit A - Whole Carcass Cutout Il
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Exhibit B - Packing plant layout -
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In 1981, Jim attended an artificial
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The plant is separated from the pig
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Wholesale Marketing squeal, is the
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cookbooks which will then be offere
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Summary of Sales Outlets During the
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Although seasonal data was unavaila
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piece. However, he doesn’t attrib
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The Market Niche Table 5. 1998 Cost
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Exhibit A - Newsletter Sample - 1 o
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Exhibit A - Newsletter Sample - 3 o
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Exhibit B - Sanitary Standard Opera
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Figure 1. General Operations Schema
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Not included in the schematic are t
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We were unable to obtain seasonal d
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usy that it distracted from their p
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Marketing and Customer Service Spen
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Exhibit A - Label Samples - 1 of 2
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Exhibit B - HACCP Plans - 1 of 8 -8
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Conclusions of Case Studies Each ca
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Merchandising and Seasonality Regul
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311 Disposal of diseased or otherwi
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Sanitary Operating Procedures (SOP
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• Safe Handling Instructions (if
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Occupational Safety and Health Admi
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APPLICABILITY OF INDUSTRY RULES 201
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Appendix A FSIS Field Office Locati
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Appendix B EPA Regional Offices Reg
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Colorado Department of Agriculture
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Iowa Department of Agriculture Henr
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Maryland Department of Agriculture
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Mississippi Department of Agricultu
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North Carolina Department of Agricu
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Pennsylvania Department of Agricult
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References Carawan, Roy E. March 19
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