Research On The Vertical Integration Strategy Of Y Company

Beef is an important part of dietary balance as it has high protein,low cholesterol and low fat.In the era of rapid economic development,people begin to pay attention to nutrition and healthy lifestyle.Compared with pork,which is mainly composed of*high fat and carbohydrate,beef is more and more popular.Because of the long growth cycle of cattle and the inefficient industrial structure model,the supply of beef can not match the rapid growth of consumption,resulting in the shortage of supply and demand,and the serious shortage of production.In order to meet the market demand,occupy the market rapidly and obtain higher benefits,more and more beef cattle enterprises begin to carry out strategic transformation and improve production technology.With the support of the government,it is expected to gradually shorten the gap between production and demand in the past five years to meet the growing demand for beef consumption.Y Company is located in J City,Henan Province.Henan Province is a large agricultural province with a long history,superior geographical position,abundant natural resources,mild climate,fertile land,and a large population,which provides a superior growth environment for beef cattle.As the leading enterprise in the province,the government has provided the policy guarantee for beef cattle,so it has obvious competitive advantage and position in the market.The company develops beef cattle breeding,invests in advanced production and processing technology,equipment and technology,encourages innovation and research and development,self-built warehousing logistics system,and ultimately terminal sales.However,the company's current vertical integration strategy is too extensive,lacks the strategic planning suitable for the enterprise,has not fully exploited the advantages of the industrial chain,resources have not been fully utilized,and benefits have not been maximized.Therefore,it is imperative to improve and formulate a comprehensive vertical integration strategy more suitable for the development of its own enterprises.In the process of implementing the strategy of vertical integration,meat processing enterprises should base themselves on their objective advantages,external environment and opportunities to design and formulate strategies to adapt to development.In order to ensure the implementation and development of the strategy,a number of measures are adopted to assess andcontrol risks,and ultimately to ensure the smooth implementation and rapid development of the strategy.This paper carries on the omni-directional system analysis for Y company,which has certain guiding value for the development of the company.At the same time,I hope that the conclusions of this study can provide some reference for the industry or similar meat processing enterprises in the process of implementing the vertical integration strategy.