Determining strategic decisions for local business sustainability in broiler partnerships

Abstract

The broiler is one of the diversity of chicken species that has an upward trend in the public’s amount of consumption every year. Market uncertainty caused by government policies affects the level of production and the price of the broiler. This is detrimental to the poultry farmers and the partnership industry because the selling price becomes lower than the production cost. The subjects were a random sample of poultry farmers and industry partnerships in a developing country with a high level of broiler consumption. A study was conducted on internal and external factors regarding strategic decisions. The strategy method stages include finding alternatives and framing strategies using the strength, weakness, opportunity, and threats (SWOT) matrix and quantitative strategic planning matrix (QSPM), respectively. The SWOT matrix analyzes the strategies that can be conducted in this case study: market penetration and product development. QSPM explained that the best strategic decisions were an intensive approach to quality animal feed producers, quality management training for poultry farmers and internal company parties, and business diversification for broiler processed products. Apart from preserving biodiversity, hopefully, this study will contribute to food security and improve the local communities’ economy.