Agriculture - McGraw-Hill Introduction to Business

Soaring Chocolate Prices Impact Businesses around the Globe

November 8, 2024

A few weeks ago, we looked at how rising cocoa prices led to price increases for chocolate just before the Halloween season. The video below examines this global issue in great detail, from the struggles of cocoa farmers in Ghana to the effects of rising costs both on independent operators and major candy producers like Mars Wrigley.

Questions:

What are some of the issues affecting the livelihoods of Ghanaian cocoa farmers?
How are independent businesses like Li-Lac Chocolates responding Continue reading →

Chocolate Prices Are Scarily High This Halloween

October 22, 2024

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For millions of Americans, Halloween is all about eating candy. And there’s no variety of candy more beloved than chocolate. According to national surveys, the average American’s favorite Halloween candy is a chocolate treat like M&Ms, Snickers, or Reese’s Peanut Butter Cups. But this year, you may notice less chocolate in your family’s trick-or-treat stash. That’s because cocoa prices are at record highs after three years of poor crops. The price of cocoa has doubled since the start of 2024 Continue reading →

Packaging, Marketing, Product Distribution, Agriculture, Halloween, Holidays, Food & Drink, Supply & Demand, Product Development, Promotions, Supply chains

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution

Bad Weather and Competing Crops Hurt the Coffee Industry

September 20, 2024

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When it comes to global commodities like coffee beans, even the slightest change in the environment or the economy can drastically change prices and supplies. That’s what happened in 2021 when a sudden and severe frost in Brazil destroyed 500,000 acres of coffee plantations, sending prices for unroasted coffee beans soaring. The extensive damage reduced the country’s coffee production by more than 10 million bags annually for three consecutive years. Brazil is the world’s largest producer of Arabica beans, the Continue reading →

Supply & Demand, Product Development, Operations Management, Product Distribution, Global, Agriculture, Entrepreneurship, Food & Drink

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 3: Globalization, Chapter 6: Entrepreneurship, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution

[VIDEO] How a Cork Company Produces 22 Million Stoppers Per Day

September 12, 2024

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Although wine corks might seem like simple items, the video below shows why they’re anything but. Along with examining the production and manufacturing processes around cork, this lengthy video also explains how one company uses it to produce everything from flooring to footwear.

Questions:

What are cork companies like Amorim doing to address the shortage of skilled laborers needed for bark harvesting?
How did Amorim diversify its operations after a fungi infection nearly destroyed its cork stopper business?

New Startup Markets Methane-Eating Microbes to Eco-Friendly Companies

August 21, 2024

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For decades, many big businesses have tried to go green by reducing their carbon emissions. Companies like Amazon, Microsoft, and Nike have made “net-zero” pledges over the years that promise to remove as much carbon dioxide from the atmosphere as they put into it. While some firms try to go carbon-neutral by reducing their emissions directly, others pay for carbon removal projects — such as planting trees or building solar panels — to offset emissions.

But carbon dioxide isn’t the Continue reading →

Marketing, Operations Management, Product Development, Ethics, Product Distribution, Entrepreneurship, Agriculture, Food & Drink, Supply & Demand, Climate change, Carbon Emissions

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 4: Ethics and Social Responsibility, Chapter 6: Entrepreneurship, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution

Fourth of July Cookouts Could Cost More this Year

July 2, 2024

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In a few days, millions of Americans will ignite their grills and barbecue up a storm in a grand Independence Day tradition enjoyed from coast to coast. Thanks to inflation, though, this year’s celebrations may be pricier than in years past. While Fourth of July favorites like hot dogs and potato salad remain affordable, prices for items like ground beef, pork chops, and lemonade have risen dramatically.

According to the American Farm Bureau Federation (AFBF), an average cookout for 10 Continue reading →

Pricing, Product Distribution, Agriculture, Marketing, Holidays, Operations Management, Food & Drink, Supply & Demand

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution

[VIDEO] How Tabasco Fills Up To 700,000 Bottles A Day

July 14, 2023

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Since 1868, Tabasco has produced hot sauce by aging a spicy mash of peppers, vinegar, and salt in oak barrels for five years. The video below shows how the company makes this iconic condiment through a combination of time-tested methods and modern assembly line efficiency.

Questions:

Why does Tabasco still depend on using old bourbon barrels to create its hot sauce?
Do you think Tabasco should relocate its Avery Island facilities in favor of a place that is more Continue reading →

Product Development, Operations Management, Product Distribution, Global, Agriculture, Manufacturing, Food & Drink, Tabasco

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Videos

[VIDEO] How Commodity Markets Work

March 3, 2023

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Florida’s orange crop is shrinking year after year, sending commodity prices skyrocketing for orange juice concentrate. This video examines the intricacies of commodity markets through the lens of concentrated OJ, looking at concepts like futures contracts and how they affect both farmers and retailers.

Questions:

Why has Florida’s plummeting orange production caused juice prices to increase significantly?
What are the benefits of futures contracts for farmers and manufacturers?

Commodities, Food & Drink, Supply & Demand, Retail, Pricing, Product Distribution, Operations Management, Agriculture

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 19: Securities Markets, Videos

[VIDEO] Florida Orange Growers Struggle with Dwindling Harvests

May 26, 2022

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Although the sunny state of Florida is famous for its acres of orange groves, the last few years have been stormy for citrus growers as they fight against a tree disease that damages their crops. This extensive video looks at how “citrus greening” brought on by an invasive insect has put many Florida growers out of business while others struggle to adapt to this new agricultural reality.

Questions:

How has citrus greening impacted the Florida orange industry?
What are Continue reading →

Global, Manufacturing, Product Distribution, Agriculture, Food & Drink, Operations Management

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 9: Production and Operations Management, Chapter 15: Distribution, Videos

Shipping Companies Ignore Farmers in Pursuit of Greater Profits

April 21, 2022

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Before the pandemic, enormous shipping vessels bound for the West Coast of the U.S. from Asia usually took the same predictable and profitable voyages. After docking in either the port of Los Angeles or Long Beach, the ships would unload their cargo and then head up north to Oakland, where they stocked up on agricultural goods from California’s expansive farmland. This cargo would ultimately end up in markets around the world after journeying across the Pacific and disembarking in Southeast Continue reading →

Ethics, Regulation, Entrepreneurship, Supply chains, Manufacturing, Transportation, Product Distribution, Agriculture, Shipping, Food & Drink, Supply & Demand

Chapter 1: Taking Risks and Making Profits, Chapter 2: Economics, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 6: Entrepreneurship, Chapter 9: Production and Operations Management, Chapter 15: Distribution, Bonus Chapter A: Business Law