Capturing value beyond the trading house: strategic pathways for company A poultry exports to Japan

This Independent Study examines the structural limitations faced by a Thai vertically integrated poultry exporter (Company A) in capturing economic value from the Japanese market, despite Japan being one of its largest and most stable export destinations. Although Company A possesses strong upstream capabilities in production efficiency, biosecurity, and food safety, its exports to Japan remain predominantly routed through trading houses under cost-insurance-freight (CIF) arrangements. As a result, the firm captures only a limited share of final consumer value, while downstream intermediaries retain control over pricing, branding, and market access.The study applies a mixed-method approach combining quantitative value-chain analysis with qualitative strategic assessment. First, it measures margin distribution along Japan’s poultry import chain, identifying persistent value leakage and a structural profitability gap relative to Company A’s group average. Second, it analyzes the root causes of this imbalance through competitor benchmarking, channel-dependency analysis, and PESTEL and SWOT frameworks, distinguishing between uncontrollable external factors and controllable structural constraints. Third, it evaluates three strategic pathways for improving value capture: (1) forming a joint venture with a Japanese partner, (2) leveraging Halal certification and traceability as a differentiation platform, and (3) establishing a Japan-based sales office (SalesCo) to enhance buyer intimacy and market visibility.The findings indicate that Company A’s margin underperformance in Japan is driven primarily by channel structure rather than production inefficiency. An integrated strategy combining selective forward integration, differentiated compliance leadership, and localized commercial presence is shown to materially improve margin potential, strategic control, and resilience to feed and foreign-exchange volatility. This study contributes both practical guidance for agrifood exporters seeking deeper participation in advanced markets and academic insight into how emerging-market producers can redesign route-to-market structures to capture value beyond traditional trading-house models