India's Suguna Poultry Farm Ltd.: Can it Go Pan-India with its Current Business Model?


Code :BSM0051

Year :

Industry : Retailing

Region : India

Teaching Note:Available

Structured Assignment :Available

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Abstract: This case study was written primarily to illustrate the challenges faced by entrepreneurial ventures and is suitable for entrepreneurship and strategy courses. Indian poultry sector's contribution to the GDP is 2.5% (2004). With the help of contract farming, the sector has transformed into a technology-driven industry. Among many private firms dominating the Indian poultry industry, Suguna Poultry Farm Ltd. (Suguna) has emerged as the leader in the Indian poultry broiler segment with its unique business model. However, compared to the world's poultry consumption, Indian poultry consumption is very low. Identifying this potential for growth, the company is planning to expand across the country and also increase its exports in the near future. Since poultry farms are traditionally concentrated in southern India, expanding across the country might present some challenges to the company. In addition, the Indian poultry industry needs to overcome its poor image and meagre infrastructure facilities to succeed in the global arena, which Suguna Poultry also is aiming for. Will the company be able to succeed in its expansion plans with its current business model? What possible hurdles could the company face?

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Pedagogical Objectives:

  • To understand the competitive dynamics of the poultry industry in general and Indian poultry industry in particular
  • To understand and evaluate Suguna’s business model and the role of contract farming in its success
  • To debate on the growth options available for Suguna
  • To contextualise strategy making in an entrepreneurial venture.

    Keywords : Business Model, Entrepreneurship, Emergent Strategy, Deliberate Strategy, Contract Farming, Poultry, Suguna Poultry Farm, IBM, Oracle E-Business Suite, Ventakeshwara Hatcheries, Godrej, Indian Entrepreneurship, IFC

    Contents :
    » Indian Poultry Sector: Structure and Performance
    » Phases in the Evolution of Poultry Sector
    » Consumption Patterns

    Case Introduction >>

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