Another incident that caused a
significant strategic change in company operations was the 1998
devaluation of the Russian ruble, when it fell from seven rubles to the
dollar to 24. “That was a tremendous shift,” Joiner recalls. “We had a
5,000-ton ship ready to unload in St. Petersburg, another ready to
leave from New Orleans, and a third ship of the same size purchased for
future shipment. Our first move was to divert the cargo from St.
Petersburg to another country, where we found buyers for the cargo,
thus avoiding taking a large loss.” He says that the experience “taught
us that risk of this size was no longer appropriate for our company.”
As a result, AJC formed partnerships with firms such as Sanderson Farms
and Wayne Farms to market poultry in Russia.
“We lessened
AJC’s risk by spreading it with our partners, who benefited by gaining
a new marketing channel to Russia. Here again we found a solution to a
risk problem rather than walking away from the opportunity.”
In
an international business that is so changeable, Joiner counsels that
leadership must always be attentive to the details of the trade and –
most important – have contingency plans at the ready to anticipate and
manage crisis. “If your firm faces an avian flu outbreak, a Russian
cargo embargo, or significant currency devaluation, you cannot decide
what to do on the fly. Good scenario planning and a spread of risks are
imperative for success, and even survival, in international trade.”
A
People Business As an international trading and distribution company, AJC does not produce any of its products. Instead, the company sources
the poultry, beef, pork, vegetables, fruit, and seafood in 43 countries
and sells it in 108. The company provides every aspect of the supply
chain – warehousing, inland and ocean transport, refrigeration,
currency exchange, and documentation – and takes all the risks of
ownership. As a result, the trading floor in Atlanta is manned by men
and women from all over the world. “When we’re negotiating deals with
people in Russia, China, or Brazil, we need individuals who know the
language,” says Joiner. “As a people business, we are very proud of the
276 professionals located in our 12 offices worldwide.” Speaking about
the firm’s philosophy, he adds, “We always have felt that people do
business with their friends. It is very important to speak the other
person’s language in order to truly understand their position and
develop a meaningful relationship. Our people represent 33
nationalities and 29 languages.”
Although 90 percent of the
company’s business is export, AJC International has a growing import
business. It sells and distributes imported seafood and meat products
to leading food service distributors, retailers, and restaurant chains
such as Captain D’s Seafood Kitchen.
The firm was founded in
1972 on a $1,000 investment by Allison, Joiner, and Jim Chalmers, hence
the name AJC. From its meager beginnings, it has grown organically to a
point where it reported sales of just at $1 billion in 2008.
Office of Communications and Marketing
Robinson College of Business
Atlanta, Georgia 30303
Tel: 404-413-7080; Fax: 404-413-7076; E-mail: Communications
Another incident that caused a
significant strategic change in company operations was the 1998
devaluation of the Russian ruble, when it fell from seven rubles to the
dollar to 24. “That was a tremendous shift,” Joiner recalls. “We had a
5,000-ton ship ready to unload in St. Petersburg, another ready to
leave from New Orleans, and a third ship of the same size purchased for
future shipment. Our first move was to divert the cargo from St.
Petersburg to another country, where we found buyers for the cargo,
thus avoiding taking a large loss.” He says that the experience “taught
us that risk of this size was no longer appropriate for our company.”
As a result, AJC formed partnerships with firms such as Sanderson Farms
and Wayne Farms to market poultry in Russia. 
The company provides every aspect of the supply
chain – warehousing, inland and ocean transport, refrigeration,
currency exchange, and documentation – and takes all the risks of
ownership. As a result, the trading floor in Atlanta is manned by men
and women from all over the world. “When we’re negotiating deals with
people in Russia, China, or Brazil, we need individuals who know the
language,” says Joiner. “As a people business, we are very proud of the
276 professionals located in our 12 offices worldwide.” Speaking about
the firm’s philosophy, he adds, “We always have felt that people do
business with their friends. It is very important to speak the other
person’s language in order to truly understand their position and
develop a meaningful relationship. Our people represent 33
nationalities and 29 languages.” 
Previous Page
