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Please use this identifier to cite or link to this item: http://purl.umn.edu/14720

Title: SARA LEE FOODS TAKES FLIGHT: AN ECONOMIC IMPACT ANALYSIS OF A TURKEY PLANT CLOSURE
Authors: Burrows, Spencer Antonio
Cheney, Laura Martin
Rahn, Allan P.
Keywords: impact analysis
plant closure
turkey industry
Issue Date: 2002
Abstract: In 1998, the Sara Lee Corporation implemented a corporate strategy of deverticalization. Bil Mar Foods, Inc., a subsidiary of Sara Lee responsible for the processing of packaged meat products, followed the strategy by shutting down its turkey slaughter facility in Zeeland, Michigan. As a consequence, turkey growers in Michigan were left with no viable outlet for live bird slaughter and the potential end of live bird production in the region. This study analyzes the economic impact associated with the cessation of live bird slaughter at the Bil Mar Foods plant. The economic consequences may be as high as an $81 million loss in total industry output, a $29 million loss in income, and a total employment loss of nearly 800 jobs. Faced with these economic consequences, turkey growers in the region joined forces to form a valued-added cooperative.
URI: http://purl.umn.edu/14720
Institution/Association: Journal of Agribusiness>Volume 20, Number 2, Fall 2002
Total Pages: 7
Language: English
From Page: 147
To Page: 153
Collections:Volume 20, Number 2, Fall 2002

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