VALUE CHAIN OF POULTRY HATCHERIES IN BANGLADESH: A COMPARATIVE STUDY OF SMES VERSUS LARGE PLAYERS BY PORTER’S VALUE CHAIN MODEL
VALUE CHAIN OF POULTRY HATCHERIES IN
BANGLADESH: A COMPARATIVE STUDY OF SMES
VERSUS LARGE PLAYERS BY PORTER’S VALUE
CHAIN MODEL
Md. Shamsuzzaman1 and Sheikh Morshed Jahan2
1DBA Research Fellow, Institute of Business
Administration, University of Dhaka, Bangladesh. 2 Associate
Professor, Institute of Business Administration, University of Dhaka,
Bangladesh.
ABSTRACT :
The contribution of animal farming subsector to GDP of Bangladesh at constant price is 1.66 percent, of
which more than fifty percent is contributed by poultry industry. Poultry hatchery is the backbone of this
industry. This research has tried to explore the value chain dynamics and challenges of integration faced
by SMEs vis-à-vis larger poultry hatcheries. The research framework is designed along Porter’s value
chain model. Primary data were collected from20 chief executives and senior management professionals
from hatcheries of varied sizes that supply more than 60% of the demand for chicks.The research has found
that larger hatcheriesenjoy significant competitive advantage over their SME counterparts due to extensive
value chain presence, use of modern technologies, methods and processes, stronger brand image, proper
marketing activities, effective customer services, better economies of scale and scope, continuous
technological development, proper people management and stronger infrastructural support.
KEYWORDS :
Poultry Hatchery, GP (Grand Parents), PS (Parents Stock), DOC (Day Old Chicken) & SME (Small &
Medium Enterprise)
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