The six-year run of high commodity prices coupled with generally good yields and record net farm income have also allowed all of the ancillary industries to operate with very wide margins. However, that is likely to change with the current low prices. The six-year run of high commodity prices coupled with generally good yields and record net farm income has also been very good for those in the business of handling these crops and selling crop inputs like seed, fertilizer and chemicals. In fact, margins and profits in these related industries have also been extremely strong. High farm prices have allowed all of the ancillary industries to operate with very wide margins. Interior elevations (margins) rose to levels rarely heard of, such as $0...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.