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Food Supply Chain and Business Model Innovation

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Document pages: 25 pages

Abstract: This paper investigates the contribution of business model innovations inimprovement of food supply chains. Through a systematic literature review, thenotable business model innovations in the food industry are identified,surveyed, and evaluated. Findings reveal that the innovations in valueproposition, value creation processes, and value delivery processes of businessmodels are the successful strategies proposed in food industry. It is furtherdisclosed that rural female entrepreneurs, social movements, and also urbanconditions are the most important driving forces inducing the farmers toreconsider their business models. In addition, the new technologies andenvironmental factors are the secondary contributors in business modelinnovation for the food processors. It is concluded that digitalization hasdisruptively changed the food distributors models. E-commerce models andinternet of things are reported as the essential factors imposing the retailersto innovate their business models. Furthermore, the consumption demand and theproduct quality are two main factors affecting the business models of all thefirms operating in the food supply chain regardless of their positions in thechain. The findings of the current study provide an insight into the foodindustry to design a sustainable business model to bridge the gap between foodsupply and food demand.

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