The Study On The Investment Benefits And Risks For Hunan Hongxingshengye Foodstuff Company’s Meat Project

Hunan province has a great production and consumption of pork products. So themeat industry plays a pivotal role in promoting the economic development and easingthe employment pressure of Hunan district. In order to guarantee the quality and safetyof meat products and reduce the production costs, the government adopts a series ofmeasures to support and encourage the traditional meat industry transform intoindustrial production. This brings a large scale investment of technology an capital, butalso lead to meat project facing a higher risk. In this environment, it contributes toimprove the competitiveness of the project by analyzing the market environment andfeasibility of Hunan Hongxingshengye foodstuff company’s meat project scientifically,and assessing the project’s risk effectively.Firstly, this paper combines with the actual situation of Hunan Hongxingshengyefoodstuff company’s meat project and based on the research achievements oninvestment benefits evaluation and risks analysis of project, uses PEST model andPorter’s five forces model to discuss the macro-environment and industry environmentof meat project and reveal the project’s opportunities, threats and competitiveness. Thenselects and position the target market through market segmentation. Secondly, Theresearch takes the method of combining qualitative and quantitative analysis to evaluatethe project’s comprehensive investment efficiency from economic benefits, socialbenefits and ecological benefits, meanwhile, analyzes and assesses the market risks,financial risks and policy risks of the project. Finally, this article put forward thecorresponding control measures to ensure the smooth implementation of HunanHonxingshengye Foodstuff Company’s meat project.This research will provide a certain reference on the meat project’s investmentbenefits and risks analysis of Hunan Hoxingshengye foodstuff company to ensure thesuccess of the meat project. Meanwhile, this article is also a reference for other meatprojects in investment benefits and risks analysis.