Monday, December 1, 2008

When Big Is Bad

According to this piece, there is a shortage of Kosher meat which is bad right before Hanukkah.

The lack of beef is because Agriprocessors Inc., formerly the largest kosher meatpacking company in the nation collapsed after a May immigration raid arrested nearly 400 workers at the company's Postville, Iowa, slaughterhouse.

Since then, the company has struggled, and the plant has closed. It stopped shipping beef about three weeks ago and chicken in the last week, customers said. Since there are only a handful of processors nationwide who slaughter animals according to Jewish law and under the supervision of rabbis, the shutdown has cut the kosher meat supply to the bone.


This is a good thing (well it will be soon).

First, it is good because corporations who break immigration laws should suffer.

Second, it is good because historically large meat processors (and other industries) become large by buying up the smaller competition. While this does have many beneficial results - better efficiencies, lower prices - it also means quality can suffer, especially in niche markets like Kosher meat.

The end of this article talks about how other smaller Kosher meat processors are beginning to step up to fill the Kosher meat shortfalls now that Apriprocessors Inc. is out of the market. This could set a good example for all industries and entrepreneurs.

Maybe, dare I say it, the current financial crisis. Afterall it is the giants that are falling. My little credit union is doing just fine.

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