Problem & Solution
Problem worth solving
People need vegetables and similar food with high nutritional quality and taste. Our national diet is a disgrace. Our obesity problem is very serious.
Our Solution
We use the best agricultural technology available to produce tasty and nutritious vegetables. We start with an existing farm that has custom-innovated equipment. We then add horticultural technology to the strawberry production. This will double the use of the climate-controlled overhead.
Target Market
Concurrence
Current Alternatives
Alabama is one the top farming regions in the eastern United States. This creates intense competition with many industry participants. Since almost all the produce is considered commodities, large scale buyers are more concentrated than the farmers. As a result, overall margins and rivalries for wholesaler contract contracts are very small. Three main segments of the market are vulnerable to competition:
- Imported vegetables of lower-quality.
- Mississippi pound raised vegetables
- Alabama vegetable producers.
Three farms are directly competing in the individual buyer market segment: the Anniston farm and Organics-To-You vegetable farm. Each of these farmers has produce stands. They also sell to local farmersՉ۪ markets. With the exception of Organics-To-You Farm though, they all focus on a niche market, and heavily depend on federal subsidies.
Our Advantages
Farmers Group’s strategy is to efficiently and profitably use current and future agricultural technology in vegetable production. By acquiring a profitable vegetable farm, the company will have a significant advantage in the industry. Additional application and utilization of horticultural technology in the production of strawberries will allow double utilization of the climate controled portion of the overhead. Farmers Group wants to consolidate the considerable goodwill it has created by not adding another high-production facility in the present supply-demand environment.
In the first year, the company’s goals are to:
- Prepare for the future.
- Green Acres vegetable plant system to be moved and expanded. It is now operational.
- Incorporate greens cultivation into the system.
- Get the composting system up and running by the spring of the next year.
The company’s long-term strategy is to discontinue products that are less profitable and replace them with more practical and economical products.