Higher value food chains tend to converge either towards rather narrow market segments and niches or towards conventionalization and loss in added value when volumes and turnover start growing more significantly. In this contribution, we examine growth and management in organic food chains. We argue that consistency in business logic and goals, development strategies and management instruments used, and the related adjustments during the growth process, can very effectively contribute to a sustainable development of agri-food chains and make them more competitive, resource-efficient, equitable and inclusive. The analysis and discussion are based on the findings from a set of case studies of growth in agri-food chains implemented during 2014. This paper focuses on organic food chains in Eastern Europe and Turkey. In each case study, we scrutinize the business logic in place, the development strategies pursued and the specific management instruments used. Key questions asked concern: the overall consistency of the business logic; the adjustments needed during growth; the continuous challenge of an effective coordination with consumer and retailer demands; and the contribution of business logic and management to economic performance and efficiency. In the concluding section, we present key findings from the case studies with illustrative examples and the lessons learned.
Keywords: Food chain; growth; business logic; management; value-added; performance; economic; efficiency; Slovenia; Turkey; Lithuania.
Knickel, K.; Münchhausen, von, S.; Girgždienė, V.; Skulskis, V. 2015. Managing growth in higher value food chains. In Efficiency and inclusiveness of agri-food chains in Eastern Europe and Central Asia / Proceedings of the workshop atAGRIMBA Network Congress“Smart agribusiness for the society of tomorrow”, Porec, Croatia, 17 and 18 June 2015. FAO 95-110.
