"Hope" Business Plan ?

[Jogeephus]

Large corporate farms are buying up land here. Bill Gates is one. With California's water problems I think we will see this trend continue and I expect to see the Hispanic population grow exponentially.

What business advantages does the corporate farms have ?

The two that come to mind off hand is they got a boat load of money so interest on debt doesn't hit them like a small guy and then there is the death tax. Corporations don't die so that's a 61% tax advantage here.

 

[Nesikep]

Another advantage of the corporate farm is they're big enough to be able to supply all of some grocery chain's beef (or whatever) source, and can even have their own kill plant so they cut out a couple of middle men.

 

[1wlimo]

Another advantage of the corporate farm is they're big enough to be able to supply all of some grocery chain's beef (or whatever) source, and can even have their own kill plant so they cut out a couple of middle men.

Having worked for a corporate farm in a different sector this is their only advantage. They tie up the market for sales, and can buy in supplies cheaper due to economy of scale. However they have higher costs due to all hired labour, then management, their boards etc. Smaller operation's can be more profitable, however they use their size in the market place to not play fair.