Daigle Chicks Ranch is a family-run livestock and poultry business in Texas that has operated for many decades. It is focused on local markets, emphasizing proper animal husbandry ethics. Recently, owner Jordan Daigle has considered international expansion, having realized new markets worldwide after attending an agriculture summit. How globalization affects Daigle Chicks Ranch’s business model is an area that this paper touches upon, as well as key opportunities and threats of entering the international market.
Role of Globalization
Globalization has revolutionized the agriculture industry, creating opportunities and challenges for businesses such as Daigle Chicks Ranch. The global demand for ethically sourced and sustainable livestock products has allowed the ranch to consider international expansion due to the increasing interconnectedness of markets (World Bank, 2021). The fact that the ranch attends this International Agriculture Summit reaffirms how globalization can be a strategic opportunity. The opportunity is to utilize markets from Western Europe and some parts of Asia where consumers love goods representing Daigle Chicks Ranch’s core values.
However, globalization also introduces challenges. There are cultural perceptions of meat consumption or animal welfare worldwide, so one needs to be flexible with practices and offerings. In addition, international agricultural regulations and tariffs add to the regulatory challenges. Daigle Chicks Ranch has to deal with such complexities for the company’s global integration.
Impact on Business Model
When Daigle Chicks Ranch goes global, the traditional business model based on local and regional markets will radically change. The ranch must question its supply chain management, examine international agricultural policies, and reconsider product lines to target multiple localized consumer demands.
The scalability of production is one real-life case for the impact on business model exploration. However, the ranch’s current direction of ethical and humane standards in farming is likely to take time to meet this global market demand. When the imperative to increase productivity is balanced with ethical considerations in animal husbandry, it becomes a defining aspect of strategic decision-making.
Key Opportunities and Challenges
Opportunities
The international development by Daigle Chicks Ranch reveals several distinctive opportunities that harmonize with the ranch’s fundamental values and operations. To begin with, venturing into new markets offers the farm a chance to exploit nations that are becoming more demanding in terms of organic and ethical farming. This movement fits in well with Daigle Chicks Ranch’s focus on sustainable livestock practices, allowing the business to cash in as a supplier of ethically sourced products. Furthermore, it is not just a shift in location but also an opportunity for brand growth. Daigle Chicks Ranch, which was conventionally considered a local brand, is poised to become an international label. This transition opens a new opportunity to create an ethical global base to attract consumers who care about sustainable practices and humane treatment.
Moreover, the globalization voyage facilitates partnerships and collaborations on a strategic level. Daigle Chicks Ranch can use the integration among markets to create tie-ups with foreign distributors or ranches with identical philosophical views. These partnerships can develop efficient and reliable supply chains while increasing the ranch’s reach in international markets(Hanson et al., 2017). Conclusively, these opportunities demonstrate the potential of globalization to transform Daigle Chicks Ranch into a recognizable entity that ethically and sustainably reflects well beyond its borders.
Challenges
Daigle Chicks Ranch faces numerous challenges to breaking into the global market. Initially, the ranch must skillfully act on different cultural perceptions regarding meat consumption and animal rights that entail adapting practices according to varying preferences. Next, international markets come with a series of regulatory complications, such as unique agricultural policies and tariffs, requiring extensive knowledge investment to allow smooth global operations. Finally, the need to scale ethically in response to global demand is a precarious balance, requiring innovative ways of producing more while adhering to rigid standards that promote strict ethical and humane farming practices on the ranch.
In conclusion, Daigle Chicks Ranch’s venture into the world market has exciting opportunities and complicated challenges. The ranch could use ethical and sustainable livestock practices in the international market as a unique selling point. Nevertheless, dealing with cultural differences and regulatory terrain are significant challenges. Strategic decision-making entails the desire to hold global dominance while maintaining values that define a ranch. When Daigle Chicks Ranch is about to embark on this transformative voyage, careful consideration and tactful preparation will be vital for success in the competitive world of globalized agriculture.
References
Hanson, D., Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2017). Strategic Management: Competitiveness and Globalization. In Google Books. Cengage AU. https://books.google.co.ke/books?hl=en&lr=&id=gVtnDwAAQBAJ&oi=fnd&pg=PR18&dq=Hitt
World Bank. (2021, October 18). Moving towards sustainability: The Livestock Sector and the World Bank. World Bank. https://www.worldbank.org/en/topic/agriculture/brief/moving-towards-sustainability-the-livestock-sector-and-the-world-bank
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