Fig 3 - available via license: Creative Commons Attribution 4.0 International
Content may be subject to copyright.
Source publication
The study was concerned with the competitive strategies of small food-processing firms in rural Finland and their ability to achieve and maintain a competitively advantaged position in relation to larger food companies in the dynamic and mature food market. Competitive strategies were approached from the resource-based view (RBV) that emphasises in...
Similar publications
The issue of the efficiency of food processing enterprises is ever-present because of the continuous process of improving the quality standards of raw materials, complying with the procedures in food production, introducing modern production technology, and, above all, due to the large number of actors who are competing for customers in the domesti...
Citations
... Most of the variables that measured resources were derived from Forsman (2004) and Rantamäki-Lahtinen (2009). Resource variables were buildings, funding opportunities, profitability, business expertise, technology, machinery and equipment, customer relationship management, entrepreneur's networks, expertise and networks of other family members, quality of products/services, and geographical location. ...
This study investigates the influences of resources and entrepreneurial characteristics on perceived success in familyfarms using the Resource-Based Theory and Entrepreneurial Orientation perspectives. Resources and entrepreneurial orientation are used to identify success perceptions. Confirmatory factor analysis and structural equation modelling were applied to the survey data of 805 Finnish family farmers. Family farmers rate their skills as good, and their abilities of proactiveness and self-realization success as high. The results suggest that both resources and entrepreneurial orientation affect the perceived success of family farmers, although the role of entrepreneurial orientation is relatively small. Co-variability between resources and entrepreneurial orientation is positive, addressingthe change towards the same direction. This study promotes the understanding of the family perspective and its role in the successful use of resources and entrepreneurial capabilities in farming and offers a developed construct for family farm business research.
... The economic indicators of MAPs are influenced, both locally and globally, by a variety of socio-economic, cultural, environmental, and geographical aspects [79]. There are numerous places in Italy where MAPs, many of which are typical, local species or varieties recognised for their high quality, have always been cultivated. ...
The medicinal and aromatic plant (MAP) sector in Italy is a niche sector that is growing in terms of both primary production and consumption. These products seem to be important to address several global challenges, including climate change, biodiversity conservation, drought solutions, product diversification, product innovations, and the development of rural areas (rural tourism in primis). This study utilised the Delphi method to identify key factors and possible strategies that could be adopted for the future (the next 3–5 years) of the national MAP supply chain. The research involved the collaboration of 26 experts. Individual interviews, based on a semi-structured questionnaire, were carried out during the first round of the study. The information and the collected data were then analysed and depicted in a mental map. The Italian MAP sector suffers from competition from lower-cost imported products. Despite this, the experts predicted an expansion of the MAP sector regarding aromatic herbs and certain derivative products, such as dietary supplements, biocides, and essential oils. The experts anticipated the need to increase the adoption of digital innovations, of developing agreements among the actors of the supply chain, and of investing in the training of supply chain actors.
... Successful collaborative SFSC development relies on efficient logistics management (EIP-Agri, 2015), but there is untapped potential for marketing and product development (Bianchi, 2010). Small firms' marketing competencies may be more critical to their success than production-related competencies, particularly when seeking to expand their business (Forsman, 2004). When developing and implementing equipment for small processors, flexibility regarding the type of products and use of the equipment should be kept in mind (Bramsiepe et al., 2012). ...
This study examined three collaborative scenarios for the implementation of a high‐level aseptic filling machine in small‐scale food processing for improved food safety in short food supply chains. A two‐stage research design was implemented, based on an exploration and evaluation phase. Two workshops were organised to conceptualise the following scenarios: mobile packaging, cooperative and individual ownership. A novel approach to the strengths, weaknesses, opportunities and threats‐analytical hierarchy process methodology was used to compare stakeholder perceptions and preferences for different scenarios within one case study. Financial benefits played a key role in each collaborative scenario. The most suitable scenario was found to be the mobile packaging, offering flexibility and no initial investment cost while enabling collaborations. The cooperative scenario has the potential for centralised logistics and marketing while being conscious of its organisational structure. Individual ownership should also focus on centralised logistics and marketing while considering food safety and flexibility limitations.
... In fact, industry would benefit upstream from a greater concentration of production, higher production volumes and trade agreements (i.e., contract manufacturing), while, downstream, it is suffering from the power of the distribution and retail sector, as has widely been confirmed in literature (Hayashida 2018). Therefore, once again, the need to enter binding contract farming has been confirmed; such contracts will in fact generate adequate assurances for small-scale producers to help them manage the aggregate supply and price risk (Federgruen et al. 2019;Forsman 2004). ...
Purpose. The aim of the study has been to understand the stakeholders' stance, with respect to the different stages of Porter’s value chain, to learn what activities could create the most value to the future competitiveness of the Italian aromatic sector. The main challenges faced by stakeholders and possible future strategies have been investigated.
Design/methodology/approach. A survey, consisting of four subsequent phases: creation of a focus group, identification of actors and experts, gathering of data, and processing of the data using descriptive statistics and Multiple Correspondence
Analysis (MCA), has been performed.
Findings. The stakeholders agreed that the Italian aromatic sector needs to enhance its value chain, but there is a polarisation of importance especially towards processors and retailers. Processors consider operations and outbound logistics as the most relevant primary activities, while retailers consider marketing and sales. Firm infrastructure and technology development are the more relevant support activities for retailers, while human resource management for processors. Farmers are apprehensive of imports, while processors agree that priority should be given to the bargaining power of retailers. Training of professionals emerges as an important future strategy to improve the extended value chain of the sector.
Originality. The article investigates the extended value chain of the aromatic plant sector, according to Porter's model, in combination with a multivariate explorative tool (MCA). The results represent preliminary insights that can be used to diversify the role and sensitivity of different stakeholders, with respect to supply chain competitiveness and innovation.
... Additionally, in order to further validate the results of the cluster analyses [10] , a discriminant analysis was applied. The latter is a method designed to derivate a linear combination of independent variables that will discriminate best between a priori defined groups [11] . ...
This study analyses the marketing program implementation in Greek fisheries firms. In this perspective, quantitative research with personal interviews to fisheries firms’ executives is elaborated. Data were analyzed elaborating cluster and discriminant analysis. Findings reveal that there are two distinct groups of Greek fisheries firms regarding their decisions about the components of marketing mix. The results demonstrate that there are differences among the two groups mainly in terms of price and distribution policies. Particularly, 62.6% of sample firms seem to dispose a differential marketing mix, while 37.4% of sample firms seem to dispose a non-differential marketing mix. Notably, both clusters are not aware of quality and sustainability assurance certifications regarding seafood products. From this perspective, there is a potential for a better organized marketing program implementation aiming to respond efficiently in modern market needs.
... Porter was constructed, made a considerable contribution to current competitive strategies (Barney, 2001). After the fascination with Porter's concept, which puts the emphasis on the competitive surroundings of an enterprise, in the 1990s, the Resource-Based View (RBV) grew in popularity (Forsman, 2004). Nowadays, the RBV framework is one of the dominant paradigms in management and research into family businesses (Suess-Reyes and Fuetsch, 2016;Rantamäki-Lahtinen, 2009). ...
Economic viability of urban and peri-urban agriculture (UPA) is the key requirement for additional social, environmental, and landscape functions within urban and peri-urban areas. However the rapid progress of urbanization drives the loss of farmlands to industrial, residential and other urban uses, and the decline of farms and population working in agriculture. Hence, the literature highlights the need to popularize new ideas and strategies of preserving and developing farms in urbanized areas.The main aim of this research is both to identify and assess determinants of success of farms located in urban and peri-urban areas. The key question that has arisen is: how do different adjustment strategies, locations and farm resources affect the success of farms? For this purpose a web survey was conducted among 199 professional urban and peri-urban farms in the Ruhr Metropolis (Germany). It is an old-industrialized polycentric urban agglomeration where agriculture has a comparably high level of significance in current land use. Analyses were conducted taking a resource-based view and using the classification tree method. The data indicate that farms which use various adjustment strategies are more successful. Elements of successful strategies, are include tourism services (mainly horse-riding) and direct marketing. Results further indicate that the effectiveness of those strategies (farm success) is mainly dependent upon a farms locations. Distance from the customer seem to be of utmost importance, because by minimizing transport costs, customers choose entities that have the most convenient location for them. By assessing farm success from a long-term perspective, it was noted that positive prospects of development apply mainly to full-time farmers who use appropriate adjustment strategies. In contrast, farms, which do not use any elements of strategies relating to customers from urban areas, seem to achieve success chiefly from having a relatively large surface area of farmland.
... To identify possible distinct groups among consumers, the data was analyzed through cluster analysis, which has been a popular multivariate method in strategic management research when the objective is to identify groups of consumers with similar characteristics (FORSMAN, 2004). Objects in a specific cluster share many similar characteristics but are very different from objects not belonging to that cluster (SARSTEDT & MOOI, 2014). ...
In recent years, increasing interest in natural and traditional plants, which are an integral part of rural life, has been observed because of health concerns and new social trends. In this regard, medicinal and aromatic plants (MAPs) are becoming more popular among consumers. The purpose of this research is to investigate consumers’ attitudes and behaviors toward MAPs in order to identify possible distinct consumer group and examine its potential linkage to the characteristics of the consumers’ demographic and socio-economic status. To detect the perceived differences among consumers, the principal component and k-means cluster analysis were performed using the data from a face-to-face survey (n=420) conducted in five major cities in the Mediterranean region of Turkey. The analysis allows segmenting the market into three homogenous clusters that have distinctive behavioral, attitudinal, and socio-demographic profiles. This segmentation is particularly effective for the dynamics and further expansion of the MAP sector as an important source for rural life.
... Studies (e.g. Forsman 2004) show that most of the raw material acquisition and sale of the products takes place within the region where they are located. According to our survey addressed to agricultural producers, one of the most important distribution channels for them seemed to be local food processing companies (about one third of producers mentioned this channel). ...
Consumers and institutional kitchens, as well as traders, have shown increasing interest towards local food. This is particularly due to the transparency and traceability characteristic of a short supply chain and social aspects related to food origins. The trend has been increasingly common during the past decade in Europe and North America, and it is strongly evident in the case area of this study in Northern Ostrobothnia, Finland. In general, ease of access to food is highly important for consumers and crucial for institutional kitchens, in addition to quality aspects and price. However, regardless of proximity, poor accessibility is one of the key issues preventing the further growth of local food markets. Due to scale economics in food value chain, food transport is presently organised mainly by centralised, large-scale logistics companies directed via hubs serving millions of consumers. Accordingly, production volumes required to enter large-scale markets are often unattainable for disjointed small-scale local food producers. In this study, geographic information system (GIS)-based accessibility analyses are applied for analysing potential for integral networking of local food production and transport companies. Berry production was selected as a case study because it has a relatively strong role in Northern Ostrobothnia, while its logistics are notably underdeveloped. Spatial data of primary production volumes consists of register records of farm-specific cultivation areas and average yields in Northern Ostrobothnia and Finland. Accessibility computations are based on the digital model of the Finnish road network, Digiroad. Two surveys were also implemented to farmers and food processing companies to seek views on food processing, sales, logistics and procurements regarding local food. Data from the surveys was used in accessibility analysis, which enables exploration of opportunities for establishing ‘local food’ clusters integrating small producers into a more effective and competitive network. Information about favourable conditions for cooperative networks in the local food sector may help in establishing companies and their growth. Again, successful networking may increase scale economies in local production in transport, processing and marketing.
... 78 Sus ventas ascienden a 93,3 mil millones de euros (MAGRAMA 2015b). Se trata de un sector con una fuerte injerencia administrativa, y está muy condicionado por la PAC, que no sólo dibuja el contexto institucional para la agricultura, sino también para toda la industria alimentaria (Jordana 2009;Hyvönen y Kola 1998;Forsman 2004 Entre las principales exportaciones de productos agroalimentarios figuran el aceite de oliva, las legumbres y hortalizas conservadas, la carne de porcino y los vinos. Los productos importados más característicos son aceites (no de oliva), preparaciones alimenticias diversas, legumbres y hortalizas, quesos, azúcares y confitería. ...
... Usein innovointi pienissä yrityksissä yhdistetään yrittäjän tiettyihin ominaisuuksiin sekä työtekijöiden kyvykkyyteen (esim. Forsman, 2004). Lisäksi oleellista innovaatioiden kehittämisen kannalta on yrityksen kyky hyödyntää yrityksen ulkopuolella saatavissa olevaa tietoa (Avermaete ym., 2004). ...
