Barriers to Business Model Innovation in Swedish Agriculture

Olof Sivertsson and Joakim Tell
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Olof Sivertsson: School of Business and Engineering, Halmstad University, CIEL, Halmstad 302 74, Sweden
Joakim Tell: School of Business and Engineering, Halmstad University, CIEL, Halmstad 302 74, Sweden

Sustainability, 2015, vol. 7, issue 2, 1-13

Abstract: Swedish agricultural companies, especially small farms, are struggling to be profitable in difficult economic times. It is a challenge for Swedish farmers to compete with imported products on prices. The agricultural industry, however, supports the view that through business model innovation, farms can increase their competitive advantage. This paper identifies and describes some of the barriers Swedish small farms encounter when they consider business model innovation. A qualitative approach is used in the study. Agriculture business consultants were interviewed. In a focus group led by the researchers, farmers discussed business model innovation, including the exogenous and endogenous barriers to such innovation. The paper concludes many barriers exist when farmers consider innovation of agricultural business models. Some barriers are caused by human factors, such as individuals’ attitudes, histories, and traditions. Other barriers are more contextual in nature and relate to a particular industry or company setting. Still other barriers, such as government regulations, value chain position, and weather, are more abstract. All barriers, however, merit attention when Swedish agricultural companies develop new business models.

Keywords: barriers; business model innovation; agriculture (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2015
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (16)

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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:7:y:2015:i:2:p:1957-1969:d:45760

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