Kamoriongo Poultry Co-operative Project

Description

The Kamoriongo Poultry Co-operative consisted of 10 families who were involved in poultry farming in Nandi County, in the North Rift Valley of Kenya. The purpose of the co-operative was to pool savings to help individual families pay for tuition when their children came of age. Because of heavy rains during the region’s rainy season, many of the co-operative’s chickens were contracting waterborne illnesses that made them incapable of producing eggs. In order to keep up with demand from the wholesaler who bought from them once a week, the farmers had to find a way to keep their chickens healthy and to produce enough eggs to increase profits. In 2018, to combat this problem, the co-operative was considering purchasing either a new hen shelter or a commercial incubator. With a continuing decrease in egg production, the farmers needed to evaluate each alternative, determine how to finance these investments, and prepare both short- and long-term plans for sustaining their business.

Learning Objective

The case is intended for introductory classes in financial fundamentals, managerial accounting, or strategy at the undergraduate level. This case gives students the opportunity to make critical business decisions and to think broadly about real issues facing African entrepreneurs. After working through the case and assignment questions, students will have developed their ability to do the following: ·Describe the business environment in Kenya, particularly opportunities within the farming and agricultural industries. ·Explain the importance of sustainability. ·Evaluate financial opportunities. ·Create both short- and long-term strategic business plans.

Keywords

Business Strategy Operations management poultry farming