ISSN Electrónico: 2500-9338
Volumen 23-N°1
Año 2023
Págs. 5 – 17
COMPETITIVENESS OF
COMPANIES IN THE RICE MILLING SECTOR: EMPIRICAL STUDY
Francisco Javier Sierra Narvaez **
ORCID link: https://orcid.org/0000-0001-5926-7971
Rolando Eslava
Zapata ***
ORCID link: https://orcid.org/0000-0003-2581-1873
Jesus Alfonso Omana
Guerrero ****
ORCID link: https://orcid.org/0000-0001-5773-0301
Lenny Faubricio Cudris Niño *****
ORCID link: https://orcid.org/0009-0008-8111-2077
Recepción
Date: December 7, 2022
Recepción
Date: March 20,
2023
Abstract:
The objective of the research is to analyze the competitiveness of
companies in the rice milling sector. The study is qualitative with a
descriptive and field design. A sample of eight companies registered in the
Chamber of Commerce of Cúcuta, Norte de Santander,
Colombia, undergoes an analysis of the environment, to identify
weaknesses-strengths and opportunities-threats in the processes that make up
the supply chain. Porter’s value. The results reveal that the
greatest opportunity that is presented is the growing behavior of the demand
and that until now has not been covered by the companies that operate in the
sector, even when they have enough installed capacity to serve this market.
Therefore, the market of the rice sector requires conditions of efficiency and
effectiveness of the participating companies to achieve adequate levels of
competitiveness. This research allows formulating applicable strategies in the
sector to take advantage of competitive advantages.
Keywords: Agri-foods,
Competitive Strategy, Business Strategy
*
Research article linked to the
research project "leadership and financial
performance in the Colombian
clay sector" attached to the Research
Center of the Cúcuta Sectional Free University. Research assistant assigned to the
project: Lenny Faubricio Cudris Niño.
**
Industrial Engineer from the University of Santander, Colombia. Master in Business Management mention industry from the National
Experimental University of
Táchira, Venezuela. Professor of
the Cúcuta Sectional Free University. Email: franciscoj.sierran@unilibre.edu.co
***
Public Accountant, Administrator, Master in Accounting
Sciences and Post-Doctorate
in "Human Development" from
the University of Los Andes - Venezuela. Diploma of
Advanced Studies and PhD in
the "New trends in organization administration"
program from the Complutense University of Madrid. Professor of the Cúcuta Sectional
Free University. Contact:
rolandoeslava@gmail.com / rolandoa.eslavaz@unilibre.edu.co
****
Industrial Engineer and Master of
Business Management from the
National Experimental University
of Táchira, Venezuela; PhD in Pedagogy
from the University of Los Andes,
Venezuela; Professor at the
University of Los Andes,
Venezuela. Kansas University Visiting
Scholar Email: alfonsomana@ku.edu
*****
Student of the Business Administration Program of the
Universidad Libre Colombia Sectional Cúcuta. Member of the
UNILIDER Seedbed. Email:
lennyf-cudrisn@unilibre.edu.co
COMPETITIVIDAD DE LAS EMPRESAS DEL
SECTOR DE MOLIENDA DE ARROZ: ESTUDIO EMPÍRICO
Resumen:
El objetivo de la investigación es analizar la
competitividad de las empresas del sector molinería de arroz. El estudio es
tipo cualitativo con un diseño descriptivo y de campo. A una muestra de ocho
empresas registradas en la Cámara de Comercio de Cúcuta, Norte de Santander,
Colombia, se les realiza un análisis del entorno, a fin de identificar las
debilidades-fortalezas y las oportunidades-amenazas en los procesos que
integran la cadena de valor de Porter. Los resultados revelan que la mayor oportunidad
que se presenta es el comportamiento creciente de la demanda y que hasta ahora
no ha sido cubierta por las empresas que operan en el sector, aun cuando ellas
poseen capacidad instalada suficiente para atender este mercado. Por lo tanto,
el mercado del sector arrocero requiere condiciones de eficiencia y efectividad
de las empresas participantes para lograr adecuados niveles de competitividad.
Esta investigación permite formular estrategias aplicables en el sector para
aprovechar las ventajas competitivas.
Palabras Clave: Agroalimentario, Estrategia Competitiva,
Estrategia Empresarial
COMPETITIVIDADE DAS EMPRESAS DO SETOR DE MOAGEM DE ARROZ: UM ESTUDO
EMPÍRICO
Resumo:
O objetivo da pesquisa é analisar a competitividade das
empresas do setor de moagem
de arroz. O estudo é um estudo qualitativo com um desenho
descritivo e de campo. Uma amostra de oito empresas
registradas na Câmara de Comércio de Cúcuta, Norte de Santander, Colômbia,
foi submetida a uma análise ambiental a fim de identificar os pontos fortes
- pontos fracos e oportunidades - ameaças
nos processos que compõem a
cadeia de valor de Porter. Os resultados revelam que a maior oportunidade é o comportamento crescente da demanda, que até agora
não tem sido coberta pelas empresas que operam
no setor, mesmo tendo capacidade instalada suficiente para atender a este
mercado. Portanto, o mercado do arroz exige eficiência e eficácia das
empresas participantes para atingir níveis adequados de competitividade.
Esta pesquisa permite a formulação de estratégias aplicáveis no setor para tirar proveito das vantagens competitivas.
Palavras Chave: Agro-alimentar, Estratégia Competitiva, Estratégia Empresarial
1. INTRODUCTION:
Every day the challenges companies face to
survive in the market are higher. Production and marketing practices require
strategies that allow companies to compete and improve performance.
Productivity, profitability, or market position are elements that determine
competitiveness, which, in turn, is articulated by four levels, namely: macro
level (economic environment), meta-level (sociocultural factors), meso level
(development regional), and micro level (internal aspects) (Saavedra García, Demuner Flores & Choy Zevallos,
2020, p. 288).
Competitiveness has gained worldwide importance
due to the contribution of Small and Medium Enterprises (SMEs) to the economy
and its impact on the generation of employment and income; hence, the
importance of implementing strategies to strengthen entry into new markets,
both national and international. Competitiveness is a crucial attribute of the
productive sectors to produce goods and services with better prices and quality
than competitors, under efficient costs. Therefore, competitiveness is a
complex phenomenon, determined by multiple factors such as production or
business management (Romero Suárez, Pertuz &
Orozco Acosta, 2020, p. 22).
The economic prosperity of countries is closely
linked to the creation of knowledge by companies, which promotes qualified and
well-paid employment. Many interrelated companies have created clusters to
boost the region's development and achieve competitive advantages. In this
address, the five constructs that influence the competitiveness of the regions
are: "Input factors; related and support institutions; demand conditions;
context for company strategy; as well as investment promotion and generation of
new companies (De la Mora, Alarcón & López, 2020,
p. 172).
Also, Research and Development (R&D) are
essential for creating knowledge and market entry; interacting with large
markets, costs, and human capital help to develop valuable products to grow
economically. Creating knowledge means interacting with governments and other
organizations to produce new processes and products that contribute to
competitiveness and long-term growth strategies (Ayvar Campos, Bonales Valencia & Meraz
Rodríguez, 2020, p. 73).
In the global context, competitive advantages
focus on productivity, investment, technological and human capital, among other
factors. The significant investment in these factors and the generation of
innovative products and services will make competitiveness sustainable. Also,
macroeconomic factors such as economic policies or social economies negatively
impact the operations of SMEs, constraining resources and limiting external
financing; this condition increases the vulnerability compared to large
competitors, to maintain standards of quality and market the products properly
(Benites Gutiérrez, Ruff Escobar, Ruiz Toledo, Matheu Pérez, Inca Alayo & Juica Martínez, 2020, p. 210).
The agribusiness sector, faced with
globalization, has taken essential steps in the search for factors to achieve
competitive advantages. Regarding this, sociocultural factors are liking the
company's management capacity and the organizational factors related to
management practices. Therefore, developing these factors will make
differentiated products and services valuable for the client (Vega Martínez,
Martínez Serna, Parga Montoya & Bautista Sánchez, 2020, p. 1687).
In Colombia, SMEs present weaknesses in the
value chain, as adding value to the product does not meet the requirements to
offer good products to the final consumer. It shows that the value chain allows
the economic development of companies due to the healthy financial, human, and
technological resources; however, in Colombia, the expected growth of companies
is not being achieved because they do not have a productive infrastructure and
innovation processes to gain new markets (Ospina Parra, Garavito
& Correa, 2023, p. 237).
Therefore, this work aimed to analyze the
competitiveness of companies in the rice milling sector. The study is
qualitative with a descriptive and field design; the context analysis is based
on Porter's value chain and carried out from a sample of eight companies
established in the Chamber of Commerce of Cúcuta,
Norte de Santander, Colombia.
Competitiveness is the ability of the company to adapt resources to
achieve competitive advantages and positioning before competitors; For
companies, competitiveness can be achieved through the development of
infrastructure, a reliable analysis of the macroeconomic context, and the value
of an efficient financial market (Saltos Cruz, Araque Jaramillo & Saltos
Cruz, 2022, p. 190-191); as well as having information on the environmental
impact and the management of sustainable costs (Sinforoso
Martínez, Villafuerte Valdès & Carrera Mora,
2022, p. 51). To reach a high level of performance to compete Latinoamerican countries have implemented "information
and communication technologies (ICT), international openness and transport
infrastructures" (Guaita Martínez, Serdeira Azevedo, Martín & Puertas
Medina, 2022, p. 131).
Competitiveness implies that a company exceeds its competitors in
production and sales through the quality of production processes and
technologies. Also, competitiveness is related to strategies such as
penetration in international markets and foreign trade activity (Escalante Yaulilahua, Lezama Verástegui, Verástegui Espíritu, Muñoz
Acevedo & Venegas Rodríguez, 2022, p. 105) and export efficiency (Hernández
Soto & González Farias, 2022, p. 66).
However, the external competitiveness of companies is based on
macroeconomic variables such as relative prices, labor costs, or the exchange
rate. But it can also be linked to productivity levels and global value chains.
This context shows how governments use aggregate economic indicators to assess
the country's performance in international competition through the trade
balance and world trade. Therefore, the workers' productivity, technological
changes, external demand, or geographic location can increase productivity
(Vázquez López, 2021, p. 3; Kolpak, Borisova & Panfilova, 2021,
p.106).
Productivity from the macroeconomic perspective is related to the
capacity of nations to produce, export, and generate high standards of living
in the population, which, without a doubt, favors the development of
institutions, a healthy context for business, and competition. (González, 2021,
p. 127); Likewise, competitiveness is related to productivity growth,
manufacturing process efficiency, and the quality of the products traded
(Vázquez López, 2021, p. 141). Competitiveness from the macroeconomic
perspective focuses on factors such as institutionality,
technological readiness, market size, infrastructure, health, education,
business sophistication, financial market, and market efficiency (Arroyo, 2020,
271). However, from the microeconomic perspective is related to the ability of
companies to compete (González, 2021, p. 127; Ruiz Chico, Peña Sánchez &
Jiménez García, 2021, p. 2); Likewise, Cortés Villafradez
& De la Peña Cárdenas (2019, p. 279), also prices, quality, and innovation
are variables that affect the profits and growth of the companies
market.
Economic globalization is a factor that has driven progress in
technology and complex global networks around production in countries. The
manufacturing processes have produced changes in making and employing workers,
above all, due to the geographical relocation of activities; therefore, the
large companies are impacting the global value chain. They are causing
significant wage costs and labor productivity gaps, undoubtedly affecting
competitiveness (Vázquez López, 2021, p. 2). Another critical factor that
influences competitiveness is corruption because it affects the fulfillment of
government objectives and undermines private companies' interest in investing
or doing business (Useche & Reyes, 2020, 97).
Latinoamerican companies have shown
improvements in the processes of the value chain. Specifically, the
agricultural sector suffers disadvantages in the value chain related to
production costs and social, economic, and institutional aspects. Highlight the
four essential functions of the value chain: production, grouping, processing,
and distribution (Analuisa Aroca,
Jimber del Río, Sorhegui
Ortega & Vergara Romero, 2020, p. 1198).
3. METHODOLOGY:
The research is qualitative
with a descriptive and field design (Ocando Ruíz & Eslava Zapata, 2022,
p. 68). The study sample consisted of eight companies from the rice milling
sector registered in the Chamber of Commerce of Cúcuta,
Norte de Santander, Colombia; these companies are Coagronorte,
Arrocera Gelvez, Comercializadora Gómez y Gómez, Arrocera
San Valentín, Arrocera Santa Clara, San Pedro rice,
La Perla MT rice cooker, and Agua Clara rice cooker. In this address, the
research focuses on a documentary review and an interview with the companies'
managers to understand the factors of competitiveness and the internal
characteristics of the rice sector.
4. RESULTS:
a. Internal analysis of the
sector
In the results of the internal analysis of the
rice milling sector, it is possible to show valuable information to understand
its structure and internal dynamics. In general, it was possible to observe a
high concentration of companies in the market, which can limit competition and
affect the final price of the product (Eslava Zapata,
2023, p. 55). In addition, a trend towards vertical integration was identified
by some companies, which allows them to control the entire production chain and
increase its efficiency by detecting a predominant use of obsolete technology
in production processes, which can affect the competitiveness and profitability
of companies in the long term (table1).
The rice milling sector must consider strategies
that promote innovation to improve efficiency and competitiveness and adapt to
an increasingly demanding market; this is a fundamental challenge for the rice
sector and does not affect profitability (Eslava
Zapata, Chacón Guerrero & Parra González, 2022,
p. 466). Mills must implement more effective production management and
marketing strategies to utilize installed capacity and increase market share.
The lack of development in research, innovation, and development is a
significant obstacle to the competitiveness of the sector in the long term.
Finally, the rice milling sector provides valuable information for strategic
decision-making and to design public policies to promote sustainable
development.
Table 1. Result of the internal analysis of the rice milling sector
STRENGTHS |
WEAKNESSES |
|
F1. Updated strategic approach. F2. Optimal annual income for the development
of investment projects. F3. Inductions and training for employees. F4. Mechanical and automatic machinery. F5. Security in the centralization and backup
of information. F6. There are selection criteria for
suppliers. F7. Good manufacturing practices. F8. Use of rice husk residue as fuel. F9. Diversification of products marketed
regionally and nationally. |
D1. Integrated management systems D2. Waste of installed capacity and marketing
plans. D3. Little development in research, innovation
and development D4. Low articulation of the companies in the
sector with the actors of science, technology and innovation to improve
competitiveness. D5. Scarce strategic alliances with suppliers
to achieve the availability of paddy rice during the year. D6. Manual inventory control D7. Advertising of the product portfolio in
the media. |
|
Source: own elaboration.
b. External analysis of the
sector
The external analysis of the rice milling sector
made it possible to detect a series of factors that affect the competitiveness
and development of companies in the market, identifying a high degree of
competition in the market, which suggests that companies should strive to
differentiate themselves, and highlight its offer of products and services
(Romero, Ramoni Perazzi,
Fajardo & Gómez Patiño, 2023, p. 2). The previous
comment is related to consumers being increasingly demanding and seeking
quality products at competitive prices.
The results indicate that the demand for rice is
relatively stable and is related to demographic factors, such as the population
growth that requires companies to face technological changes to improve
production processes' quality, productivity, and efficiency. Also, the rice
milling sector is subject to a series of government regulations and
regulations, such as quality standards and food safety, which obliges companies
to comply with a series of rules to maintain their operating license to gain
the trust of consumers from neighboring countries where the market could be
growth (Borges de Souza, Triana Riveros,
Fornazier, & Ladeira Garbaccio, 2023, p. 3).
Table 2. Results of the external analysis of the rice milling sector
OPPORTUNITIES |
THREATS |
O1. Availability of educational offers at a
higher level and research hotbeds O2. Access to raw material due to proximity to
suppliers and adequate road infrastructure. O3. Existence of a Free Trade Agreement with
the United States. O4. Representation through the union and
institutions that support the sector. O5. Current regulatory framework and control
agencies for monitoring operations. O6. Lower interest from suppliers towards
forward integration. O7. Requirement of legal barriers, knowledge,
and financial investment for the entry of new competitors. O8 Substitute products are not relevant
because rice represents a staple in the family basket. |
A1. Rivalry for the commercialization of
products from other regions of the country and for the presence of imported
products. A2. Lack level of specialization of the
workforce available in the sector, the operation and maintenance of
industrial machines and equipment is increasingly automated. A3. Requirement of organoleptic properties and
price by customers, as a decision factor for the purchase of products. A4. High bargaining power of customers, being
able to replace products from the sector produced in the department by other
well-known national brands. A5. Lower participation in economic indices of
the local business sector. A6. Strict environmental regulation. |
Source: own elaboration.
c. Factors that affect the
competitiveness of the sector
The rice milling
sector in Norte de Santander has faced many challenges that have affected its competitiveness
in recent years. These challenges range from competition and technology to
productivity and access to finance. One of the main factors that affect the
sector's competitiveness is the competition from national and foreign companies
that offer lower prices and higher quality in some cases (Valero Valencia &
Jiménez Ramírez, 2023, p. 3). The lack of investment in technology and the Use
of obsolete production methods have made the sector less efficient than other
producing countries in the region.
In addition, companies
in the rice milling sector often have difficulties obtaining adequate financing
to invest in technology and improve productivity; Likewise, the lack of clear
and effective government policies to support the rice sector has made it less
competitive. Tariff and non-tariff barriers are another obstacle since they
favor the importation of products (Eslava Zapata,
Parra González & Chacón Guerrero, 2022, p. 213).
Investment in
technology and improving productivity are essential to reduce costs and
increase production efficiency. Therefore, the State must establish effective
government policies to support the sector and overcome trade barriers (Báez Sandoval, Mogrovejo Andrade
& Bastos Osorio, 2023, p. 3). Also, it is essential to take measures to
face the challenges posed by climate change to guarantee rice production in the
region. Only in this address can the sector's competitiveness be improved, and
its long-term sustainability guaranteed.
Barriers to entry to new competitors
The rice milling sector in Norte de Santander,
as in other regions of Colombia, is facing a series of barriers for new
competitors, and, in some cases, it is negatively affecting the quality and
price of the product, among the main barriers to income are an investment in
infrastructure and technology. Highlighting the knowledge and experience in the
market of other producers gives them an advantage in understanding suppliers,
customers, processes, and quality standards. For these reasons, new entrants
could find obstacles to establishing relationships with key suppliers and
customers (Omaña, Vanoni & Sierra, 2022, p. 2).
Legal and regulatory barriers, like permissions
and license costs, can also make it difficult for new entrants. Regulations on
the import and export of rice, tariff quotas, and sanitary barriers can limit
the entry of new players' entry into the markets. Economies of scale and
control of production costs are essential for success in the market. In this
regard, Molinos de Norte de Santander may have an
advantage in economies of scale, allowing them to produce at a lower cost,
lower per unit; however, this activity will hurt new entrants since they do not
have the same ability to reduce production costs and compete with prices.
Existence of substitute products
The rice milling sector in Norte de Santander
faces competition from various substitute products, which may affect its
competitiveness. Substitute products can satisfy customer needs through rice
produced with other ingredients. One of the most common substitute products for
rice is pasta, which is made of wheat flour and can be prepared in various
recipes such as noodles, spaghetti, and noodles. In addition, pasta is a widely
consumed product in Colombia and the world, making competition high (Omaña & Vanoni, 2023, p. 2).
Consumers may decide for pasta over rice, mainly
because of significant variations in the price or quality of the product; For
this reason, it is possible to detect corn as a substitute product for rice
because of a common ingredient in the diet of many people, and the diversity of
recipes such as tortillas, tamales, arepas, among
others. The supply of maize in the market can affect rice consumption,
especially in households that choose to consume foods based on maize instead of
rice.
In addition, there are other substitute
products, such as quinoa, buckwheat, and barley, which can meet the nutritional
needs of consumers and compete with rice in the market. Among the strategies to
face the competition of substitute products by the rice milling sector is
highlighting the unique characteristics of rice and differentiating itself from
substitute products; for example, the nutritional properties and health
benefits; likewise, as its versatility in the preparation of different dishes.
Bargaining power of customers
The bargaining power of customers in the rice
milling sector in Norte de Santander is an essential factor that affects the
sector's competitiveness. Customers can be the final rice consumers,
distributors, and wholesalers who buy large quantities of rice for resale. In
the case of final consumers, there is a wide range of rice on the market, which
gives them a more extraordinary ability to choose between different brands and
prices. In addition, consumers can change brands or types of rice based on
their preferences, quality, and price (Omaña Guerrero, Martínez & Carrasco, 2022, p.
52).
In this sense, end customers have significant
bargaining power in the rice market, and their purchase decision can be
influenced by various factors such as product quality, price, presentation, and
brand; This allows distributors and wholesalers to have greater bargaining
power since they buy large quantities of rice from rice producers or mills and
can press for better prices or payment conditions.
To face the bargaining power of customers, the
rice milling sector can implement strategies such as innovation in product
offerings, improvement in rice quality, competitive pricing, and improvement in
customer service. Also can establish a collaborative relationship
with distributors and wholesalers to maintain a constant dialogue and establish
beneficial agreements for both parties.
Bargaining power of suppliers
The suppliers can be both the paddy rice
producers and the suppliers of inputs and machinery necessary to produce rice.
In the case of paddy rice suppliers, there is a high concentration of supply,
which gives them greater bargaining power in the market. In addition, the cost
of paddy rice represents a significant part of the total cost of rice production,
so any increase in the price of paddy rice can significantly impact the
profitability of the rice milling sector.
Raw materials and machinery suppliers have
significant bargaining power, mainly if rice mills depend on a specific
supplier for the raw materials or machinery needed for production. An increase
in the price of these inputs or machinery can negatively impact the sector's
profitability.
Within the alternatives to face suppliers'
bargaining power, the rice milling sector can implement strategies such as
supplier diversification, improvement in supply chain management efficiency,
price and conditions negotiation, more favorable payment terms, and investment
in own technology and machinery to reduce dependence on suppliers.
The bargaining power of suppliers is a critical
factor that affects the competitiveness of the rice milling sector in Norte de
Santander, in which it is possible to implement strategies to diversify
suppliers that improve efficiency in supply chain management, to negotiate more
favorable prices and payment terms to reduce your vulnerability to suppliers.
Rivalry between competitors
The rivalry between competitors in the rice
milling sector in Norte de Santander is a critical factor affecting the
sector's competitiveness; several companies compete for the same customers and
seek to obtain a competitive advantage to increase their participation in the
market.
Several factors, such as the concentration of
the industry, the degree of product differentiation, and the entry barrier,
influence the rivalry between competitors. The rice milling sector in Norte de
Santander is affected because of the limited number of companies, which implies
a high concentration of the market and more significant rivalry, which within
the homogeneity of the product (white rice), manages to limit the possibilities
of differentiation of products and increases price competition. Those exposed
forces companies to reduce prices to compete in the market, which generates
more intense competition.
d. Strategies to improve the
competitiveness of the sector.
Improving competitiveness is still a challenge
through recognizing the existence of substitute products. The production and
marketing of organic rice or other types of rice not produced in the region can
be implemented, which can be an essential differentiator in the market (table
3) (Tamayo Medina, Carvajal Guerrero & Maldonado Niño, 2023, p. 4).
Regarding suppliers' bargaining power, strategic
alliances with raw materials suppliers should be an excellent option to achieve
better prices and delivery conditions. Likewise, producing the necessary raw
materials for rice production in the same region can be explored.
About the rivalry between competitors, marketing
and advertising strategies must be developed to highlight the attributes of the
brand and the product in the market, as well as the diversification of the
portfolio of products and services to satisfy the needs of the different
segments of the market customers.
Also, some strategies can improve the participation
and satisfaction of market demands, for example, the bargaining power of
customers, the quality of customer service, the design of promotions and
discounts, and, the implementation of loyalty programs and product innovation
Finally, to improve the competitiveness of the
rice milling sector in Norte de Santander, the development of research,
innovation, and development must be promoted, as well as the articulation with
actors of science, technology, and innovation, which will allow the implementation
of new technologies and practices that optimize production processes and reduce
production costs.
In general, to improve the competitiveness of
the rice milling sector in Norte de Santander, it is necessary to design
strategies through innovation, product diversification, strategic alliances,
improvement of customer service, implementation of new technologies, and
improve practices in production processes.
Table 3. Strategies to improve the competitiveness of the rice milling
sector
FO STRATEGIES Expand management in international markets
making use of the free trade agreement. Train staff in the management and maintenance
of industrial equipment according to technological inventions that are
presented in the organization. |
FA STRATEGIES Seek compliance with environmental protection
regulations, avoiding actions that harm the interaction of the sector with
the environment. Exalt the characteristics involved in the
process and in the products offered in the sector, relevant to the
competition, inducing the purchase. |
DO STRATEGIES Create an area of research, innovation, and
development with the support of the union and institutions of the sector that
strengthen the competitiveness of this. Develop research and innovation projects that
promote the growth of the sector by encouraging the granting of financial
support by government entities. Establish alliances with suppliers of raw
materials that provide guarantees and mutual benefits. Involve the union and institutions of the
sector in the realization and participation of a business fair that promotes
recognition by developing objected marketing activities according to the
marketing plan. |
DA STRATEGIES Promote sector products using technological
sources, covering another marketing alternative in the market. Evaluate customer satisfaction and/or
expectations regarding products offered in the market through a questionnaire
using communication media that object to ideas for improvement. |
Source: own elaboration.
5. CONCLUSIONS:
In conclusion, the results evidenced that the
competitiveness of companies in the rice milling sector in Norte de Santander
is possible by identifying factors that influence their performance and
positioning in the market and recognizing the existence of barriers to entry and
rivalry among competitors. Also, some challenges to face in the rice sector are
the technology and the implementation of management systems that improve the
efficiency of companies.
Coordination with suppliers and market
diversification are also crucial elements to improve the competitiveness of the
rice milling sector in Norte de Santander. In addition, promoting products and
using marketing tools can help consolidate the presence of companies in the
market.
In general, the competitiveness of the rice milling
sector in Norte de Santander depends on a series of internal and external
factors that interact with each other. Implementing appropriate strategies to
address these factors can allow companies in the sector to improve their
position in the market and take advantage of the opportunities that arise.
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