Poultry breeding, meat processing and trade business plan for a new company
School of Economics, Business Administration and Legal Studies, Executive MBA
Food quality, safety and integrity are vital to all points along the meat supply
chain. Today’s consumers want to have fresh, naturally bred and healthy piece of easy
digestible meat, produced by high sanitary equipment, in an hygienic environment and
checked by a veterinarian. In addition to this, the product has to be distributed by
appropriate vehicles, in a nice package at the right place, right time and affordable
price. Therefore, if a company that produces and distributes meat wants to be a
successful one and to build market share, it would have to meet consumers’
requirements for healthy, natural food and make them feel privileged by consuming
The core purpose of this project is to create a business plan for a new established
company for breeding, production and trade with poultry in the emerging market of
The new company will dedicate time and put effort, knowledge and experience to
achieve highest possible results. The plant will be equipped with new high-tech
machines and will have its own veterinary department, which will be responsible the
technological process to meet the veterinary standards and local health regulations.
The production at the beginning would be intended for the domestic market only
and would be dominantly consisted of fresh products. Frozen products will be
considered only if required by partners and on contract basis. The production process
will not begin with the phase of breeding the imported broilers, but with the phase of
own broiler production with a possibility for supervision of all the phases.
Compared with the competitors on the local market, the new company would be
the only backwards vertically integrated company in the industry. This will contribute
to the reduction of production cost by at least 5% compared to the Pilko DOO, the
biggest competitor in the domestic market. Estimated financial results show that the
investment has a positive NPV of 1.308.025 EUR in a project life period of 10 years,
with discount rate of 15%.
Skilled and well-selected employees, as well as experienced and knowledgeable
management, will have an important role in establishing quality as company’s culture
and in the overall success of the company.
Packed in the hygienic package, which emphasis the freshness and naturalness of
the chicken meat produced, the new company’s products would become an important
part in the everyday dishes of the modern families.