Industry Analysis & Industry Trends
Beefed up
The Meat Jerky Production industry maintained growth during the recession, as consumers continued to purchase low-cost snacks like beef jerky. Producers will capitalize on health-conscious trends in the future, introducing all-natural products to bolster demand. Nevertheless, competition among industry operators will intensify, as new meat jerky producers enter the industry. Also external competition from other snack food producers will remain a threat.... purchase to read more
Industry Report - Industry Investment Chapter
Meat jerky production requires a high level of capital investment, leading to high capital intensity within the industry. Operators incur depreciation costs when buying dehydrators and freezers. Most equipment must be industrial grade, to accommodate large amounts of meat. Therefore, IBISWorld estimates that for every dollar spent on labor, the average participant spends $0.27 on capital investment.
Capital intensity can vary with the size of the manufacturer. Small- to medium-size facilities typically have a lower capital-to-labor ratio because they lack the resources to invest in expensive technology and equipment. As a result, their most feasible option is to employ more labor to increase production volumes. Ove... purchase to read more