AGRIBUSINESS DIVERSIFICATION IN MEXICO AND TAMAULIPAS; REGIONAL DEVELOPMENT IMPORTANCE

Abstract

Objective: Generate a profitable business vision through productive diversification in economic units in the rural sector.

Design/methodology/approach: A historical statistical analysis of the data from SIAP (2017) was made and the annual average growth rate (TCMA) for each agricultural product was obtained, as well as its standard deviation in a period from 2005 to 2015 to determine the attractiveness of the Value networks.

Results: The most opportunity production chains for the development agricultural business model were identified, where it is proposed to continue to produce in the activities that have the greatest production value and invest in those that are considered risky. It also aims to create synergy between the agricultural and livestock sector to mitigate the risk involved in focusing on one single activity.

Limitations on study/implications: This research focuses on secondary information from reliable sources.

Findings/conclusions: The diversification of businesses in the agricultural sector is a viable alternative to improve profitability and competitiveness of companies so that they have more resources and distribute their risks. There is an opportunity to incorporate a business network in all those activities that present the greatest risks, that is, those in which their value does not present improvements over time.