Development of sustainable business models for innovation in the swedish agri-sector: Resource-effective producer or stewardship-based entrepreneur?

Abstract

This chapter focuses on the development of sustainable business models for innovation in the Swedish agri-sector. This is important for several reasons. Many of societya's challenges are linked to social, environmental and economic aspects of agriculture, and numerous agri-companies have been reduced to subcontractors with little influence, and are struggling with low profitability. Previous research regarding agri-companies have mainly focused on production and cost-efficiency aspects. Research regarding sustainable innovation and sustainable business models in the agri-sector is limited to date. To fill in this gap, the aim of this chapter is to illustrate and analyse how Swedish agri-companies develop sustainable business models. An integrated theoretical framework combining research regarding sustainability-oriented innovation and sustainable business model archetypes has been developed in order to collect and analyse the eight agri-companies in the study. Swedish agri-companies focus not only on optimization but also on their organizational transformation and systems building when developing sustainable innovation. They have developed diversified business models. A common, important factor is to adopt stewardship roles. Further, the value intention of agri-entrepreneurs is a relevant factor when developing sustainable business models.