A Hydroponic Vegetable Business Development Strategy: A Case Study of CV Casa Farm

Abstract

Abstract. The Business Development Strategy for CV Casa Farm emerged from an analysis of the external and internal environments mapped using a SWOT matrix with a focus on weaknesses and opportunities. Several production problems, such as yellowing of vegetables, rotting roots, and the spread of disease that caused production failures and planting media waste, could be reduced to minimize costs and increase productivity to meet the demand for vegetables in the city of Bandung. Problems were also identified with management and governance, such as overlaps in the allocation of tasks causing unfavorable work performance and decreased productivity. Applying IoT technology could increase vegetable weight by 37.7% and reduce production failures from 12.85% to 7.14%. Based on non-financial factors, including the market, production, organization and management, human resources, and collaboration, the implementation of IoT technology was judged to be feasible. Based on a financial and partial analysis, the investment feasibility obtained NPV> 0 of Rp1,247,103,045.33, with a Net B/C value of 2.63, Gross B/C of 1.62, IRR acquisition of 31%, a payback period of four years and three months, and an increased profit of Rp27,849,345.00, the business development strategy was judged to be feasible using IoT Simon Kori technology because it met the investment criteria and brought additional benefits. In the sensitivity analysis, a 20% decrease in the product selling price was shown to have an impact on the feasibility of implementing IoT. An incremental net benefit analysis indicates that the net benefit from applying IoT technology would be Rp2,402.477,276.13. Keywords: CV Casa Farm, hydroponic vegetable, IoT technology, productivity improvement, SWOT