Sustainable rice business: a survey for strategic implication

• Published in: Journal of Asia entrepreneurship and sustainability Vol. 16; no. 2; pp. 73 - 105
• Main Authors: Zahan, Muslima, Alam, Shafquat Rafiul
• Format: Journal Article
• Language: English
• Published: Tauranga USA Info, Inc 01.05.2020
• Subjects: Agriculture; Competitive advantage; Consumers; Harvest; Irrigation; Profitability; Profits; Rice; Sustainability; Bangladesh
• ISSN: 1176-8592; 1176-8592

Purpose -To study the profitability and sustainability of rice business from a strategic perspective this paper attempts to give a thorough insight into how the rice business operates, who the major stakeholders are; what strategies are being followed; and what are the significant challenges facing the industry. Design/methodology/approach- Primary data was collected through a survey questionnaire based on a sample of 50 rice retailers from whom both qualitative and quantitative data were collected. The correlation between profitability, business tenure, sustainability, and business strategies were explored. Findings - It was found that the correlation between low-cost strategy and sustainability (82.5%) and between profitability and sustainability (56%) are significantly positive. Profit and long business tenure are also found to be positively correlated. The study also revealed that implementing a focused lowcost strategy is one of the most successful strategic choices for these businesses in the given context. Research limitations - Since the study is based on an urban market in Bangladesh, the results therefore can be generalized for very similar situations. The comparative low education and literacy level of the respondents was another limitation. Strategy Implications - The fragmented rice industry can be consolidated through branding. Market awareness for branded rice makes a better profit, profit growth, and loyalty which ultimately leads to building the competitive advantage and rice; the staple food business sustainable. Originality/value - To the best of the author's knowledge, this is the first study of its kind, trying to look at profitability and sustainability from a strategic angle. The stakeholders and the other researchers can take valuable insights from the findings of the paper.