Creating Shared Value to Enhance Marketing Success
A new business strategy is beginning to pop up in the agricultural and food sectors. Known as food value chains, these arrangements transform the traditional competitive seller/buyer relationships to a collaborative approach. Transparency, working together, and providing fair returns to all partners under shared environmental or social values are hallmarks of food value chains. This business arrangement appeals to a growing number of today’s consumers who want to know the story behind their food and want to support businesses with a social consciousness. Responding to the needs of these customers through strategic collaboration creates greater efficiency and profitability among food producers and distributors. It also translates to customer satisfaction. The Agricultural Marketing Service has described this new business arrangement in the Food Value Chains: Creating Shared Value to Enhance Marketing Success Report (pdf)
For educators who are telling students about this new marketing model, AMS has also developed a synopsis of the full report, a PowerPoint presentation, and a set of study questions.