SINGAPORE - Abalone producer Oceanus Group announced on Wednesday several changes to its current business model, with bold measures to cut cost and improve revenue.
This comes after management changes made in December last year.
A major cost-saving measure will see Oceanus revamping its entire business model. This will allow the company to work with the sea farmers by supplying abalone spawns, instead of competing with them in the same space.
Oceanus plans to purchase full-grown abalones from these sea farmers for redistribution, which mitigates the high risks the company faces due to natural abalone deaths.
The freed up farm space will be used for other joint ventures instead, such as prawn and fish farming.
These new business ventures will help the company generate new income, said Oceanus, diversifying the company's product mix and reducing the risk of relying on just one product, which is abalone.