EFFICIENCY MANAGEMENT OF PRODUCTION AND MARKET OF LAOR GARDEN CO., LTD: CASE STUDY OF HYDROPONIC SALAD VEGETABLE

Abstract

This research, The Efficiency of the Full Cycle Management of the Production and Business Marketing of Suan La-or Co., Ltd.: A Case Study of Hydroponic Salad Vegetables, has the following objectives: (1) to analyze the efficiency of hydroponic salad vegetables production management of Suan La-or Co., Ltd. in terms of production cost, and the breaf-even point for production; and (2) to analyze the efficiency of hydroponic salad vegetables production management of Suan La-or Co., Ltd. in terms of marketing cost, and marketing margin; then to conduct the overall analysis of business enterprise of the Company in terms of the profit ratio and investment return ratio of the business. This research is a descriptive research. The data was collected from stakeholders of the production and marketing team of the company including one business owner, one farm manager, one farm production staff member, one accountant staff member and one marketing staff member. The research results show that the production cost of each vegetable per production table and per production crop cycle is as follows: Red Oak Lettuce has the highest production cost (582.31 baht), followed by Green Oak Lettuce (565.06 baht), Frillice Ice Berg Lettuce (502.11 baht), and Cos Lettuce (440.50 baht), respectively. When the performance outcomes of the Company are analyzed based on the selling price of 84.11 baht, it is found that the marketing margin of Suan La-Or Company Limited is 50.85%. Its net profits and the breaking points of salad vegetables during the period of October-December 2019 classified by each kind of salad vegetables as calculated from its average weight per production table are as follows: Cos Lettuce has the highest net profit (32.53 baht per kilogram), followed by Green Oak Lettuce (29.53 baht per kilogram), Red Oak Lettuce (26.90 baht per kilogram) and Frillice Ice Berg Lettuce (20.62 baht per kilogram), respectively. The break-even point for production of each salad vegetable should be as follows: the break-even point of Green Oak Lettuce is 11.78 kilogram per table, the break-even point of Red Oak Lettuce is 11.73 kilogram per table, the break-even point of Frillice Ice Berg Lettuce is 9.47 kilogram per table, and the break-even point of Cos Lettuce is 9.60 kilogram per table. Based on the production cost and average amount of products as mentioned above, the selling prices that are at the break-even point for each kind of salad vegetables are as follows: 54.58 baht per kilogram for Green Oak Lettuce, 57.21 baht per kilogram for Red Oak Lettuce, 63.49 baht per kilogram for Frillice Ice Berg Lettuce, and 51.58 baht per kilogram for Cos Lettuce. From the analysis of the profit ratio, it is found that Cos Lettuce has the highest profit ratio (38.68 percent), followed by Green Oak Lettuce (35.11 percent), Frillice Ice Berg Lettuce (31.98 percent), and Red Oak Lettuce (24.52 percent), respectively. Rates of return on investment of salad vegetables are as follows: Green Oak Lettuce has the highest rate of return on investment (271.60 percent), followed by Cos Lettuce (258.14 percent), Red Oak Lettuce (235.14 percent), and Frillice Ice Berg Lettuce (131.03 percent), respectively.