The importance of stakeholder-initiatives for business models in short food supply chains: The case of the Netherlands

Abstract

While the interest in Short Food Supply Chains (SFSCs) is growing, we still await management studies that explore the impact of stakeholders of SFSCs in substantial numbers. This article investigates the differences in the business models of SFSCs that may be attributed to the initiator-stakeholder, interacting with other stakeholders. Essential to business models are the value proposition, value creation and value capture, but it is the ambition of the initiator-stakeholder that starts a SFSC. Initiator-stakeholders of 57 SFSCs were interviewed on a combination of both multiple choice and open questions. The data converges on three categories of business models. First and foremost, a large majority of SFSCs is driven by the aim of the initiator-stakeholder to increase economic viability, uses the market as governance structure, resulting in profit margins likely to be above margins in conventional business. Two other categories of business models of SFSCs group around the theme of producer-support, and, producer-consumer interaction, respectively.