Posts by: Tim J. Smith, PhD
Pilgrim’s Pride rose from humble beginnings as a feed store to become the world’s leading chicken supplier. Yet, 2008 proved to be a year of stumbles, eventually leading to bankruptcy filings and the ousting of CEO J. Clinton Rivers. Business press cites a rise in the cost of chicken feed and oil and the lack of a concurrent increase in price, however many other companies went through similar fluctuations in input costs without the same disastrous results. So, what went wrong with pricing at Pilgrim’s Pride? To answer this question, we will examine Pilgrim’s Pride pricing at the industry level, market level, and transaction level.
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