Factory farms, with the help of the investment backing of large corporations, are able to develop increasingly efficient methods of farming. But this has a negative impact on the local community because the increase in technology equals lesser jobs for people who aren't trained in that particular skill. These large farms slowly absorb all the surrounding smaller farms, putting innumerable families out of a job and snatching away their livelihood.
In developing countries, when factory farming is carried out, it is usually done without any care for the animals, focusing only on the end product and the goal of maximizing profit. As a result, they encroach upon the resources made available for smaller farms without ever compensating them in any way. While factory farming does seem beneficial, particularly in the large cities, at the grass-root level, it does more harm than good. In addition to this, the quality of the product cannot be guaranteed because of automation. This also has an adverse effect on the industry, particularly when the animals are diseased and not treated properly.