Joint Venture Rough Draft

Introduction

Free range is a method of animal husbandry whereby animals are not confined in an enclosure for most or the entire day. (Free Range, 2015) In the United States, free range husbandry is currently regulated by the USDA, which defines it as poultry which has been allowed access to the outside. (Meat and Poultry Labeling Terms, 2015) However, the USDA does not specify the size or quality of the outdoor area used for free ranging, nor the amount of time an animnal is given access to the outdoors. (How to Decipher Egg Carton Labels, 2016) The European Union, on the other hand, has undertaken broad and far reaching animal welfare legislation, providing specific regulations as to the size or quality of the outdoor area used for free ranging, the amount of time an animal is given access to the outdoors, as well as the every day care and subsistence of the animal. (Stevenson, 2012) However, there are no current regulaitosn regarding free range dairy. (What is Free range?, 2016)

Nevertheless, there presents itself a business opportunity in the selling of organic dairy products while paying attention to environmental concerns. Drawing from the social responsibility principle that has been at the core of the company, free range dairy can be explored for the benefit of the company, its customers, and its stakeholders. For example, marketing locally produced products conditions the public to trust the quality and safety of the animal products. (Poole, n.d.) The company;s goal should to promote free range dairy’s contribution to the local economy and sustainable environment. This can be done thru a joint venture.

A joint venture is a legal organization in the form of a short term partnership in which the persons jointly undertake a assets and share risk for a specific goal; especially gaining entrance into a new or foreign market (Joint Venture, n.d.) Unlike a proprietorship, partnership, or corporation, a joint venture is not a business organization, rather it is...