Consumer-Driven Profit Maximization in Broiler Production and Processing
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Increased emphasis on consumer markets in broiler profitmaximizing
modeling generates results that differ from those by
traditional profit-maximization models. This approach reveals that the
adoption of step pricing and consideration of marketing options (examples of responsiveness to consumers) affect the optimal feed
formulation levels and types of broiler production to generate maximum
profitability. The adoption of step pricing attests that higher profits can
be obtained for targeted weights only if premium prices for broiler
products are contracted.