Before we get our hands on the food we eat, it must first go through a farming, processing and distributing chain. Then practice what you’ve learned with our free stock market simulation.
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ABOUT THE FOOD & RESTAURANT INDUSTRY
As humans, we require food. That need to eat isn’t going anywhere, so food will always be in both high demand and high production. This makes their stock a stable and profitable one to own – either through commodities, restaurant stocks, packaged food stocks or grocery store stocks.
Here are three subsets of the food industry:
Farming
Farming includes all businesses involved in the production and collection of raw agricultural commodities. This includes things like corn, wheat, soybeans, rice etc.
Processing
Next those raw material foods must be processed into forms that may be more easily distributed and later sold to consumers.
Distributing
The next step is getting the finished or unfinished food products into the hands of hungry consumers. Grocers are the distributors for “unfinished” food products (customers will buy them and cook meals at home), while both fast food and upscale restaurants distribute finished products.
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