Response of Fresh Food Suppliers to Sustainable Supply Chain Management of Large European Retailers

Juan Carlos Pérez-Mesa, Laura Piedra-Muñoz, Carmen García-Barranco Mª and Cynthia Giagnocavo
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Juan Carlos Pérez-Mesa: Agrifood Campus of International Excellence, ceiA3, Mediterranean Research Center on Economics and Sustainable Development, CIMEDES, Department of Economics and Business, University of Almería, 04120 Almería, Spain
Laura Piedra-Muñoz: Agrifood Campus of International Excellence, ceiA3, Mediterranean Research Center on Economics and Sustainable Development, CIMEDES, CEMyRI, Department of Economics and Business, University of Almería, 04120 Almería, Spain
Carmen García-Barranco Mª: Agrifood Campus of International Excellence, ceiA3, Mediterranean Research Center on Economics and Sustainable Development, CIMEDES, Department of Economics and Business, University of Almería, 04120 Almería, Spain
Cynthia Giagnocavo: Agrifood Campus of International Excellence, ceiA3, Research Center on Intensive Mediterranean Agrosystems and Agrifood Biotechnology, CIAMBITAL, Department of Economics and Business, University of Almería, 04120 Almería, Spain
Authors registered in the RePEc Author Service: Juan Carlos Pérez Mesa

Sustainability, 2019, vol. 11, issue 14, 1-24

Abstract: This article analyses new supply chain management (SCM) strategies of the largest retail distribution chains in Europe within the context of differing sustainability concepts and approaches. An analysis is carried out of the strategic plans of such retailers, as well as recent developments in the sector. We begin by identifying the priority actions of retailers and then evaluating, by means of a survey, how small horticultural marketing firms (mainly cooperatives) in southeast Spain respond to the needs of these retailers. Subsequently, an analysis is carried out on these small marketing firm exporters to identify the relative weight which they assign to the variables assessed, while also considering the existing relationships between said weighted variables and business profits. Our results show that retailers tend to establish more simplified supply chains (that is, shorter and more vertical), essentially demonstrating their interpretation of a sustainable supply chain. In contrast, horticultural marketing firms have concentrated more on tactical and operational issues, thereby neglecting environmental, social and logistics management. Thus, their success rate in meeting the sustainability demands of their customers can be considered medium-low, requiring a more proactive attitude. Improved and collaborative relations, and the integration of sustainability concepts between suppliers (marketing firms) and their clients could contribute to successfully meeting sustainability demands. From the point of view of the consumer, close supplier–retail relationships have solved food safety issues, but the implementation of sustainability in other supply chain activities and processes is a pending issue. We propose strategic approximation and collaboration to bridge the gap between the varying sustainability demands in the supplier–retail relationship within perishable supply chains. Although this article specifically addresses fresh vegetable supply chains, the results may be extrapolated to other agri-food chains with a similar structure.

Keywords: international purchasing; sustainability; vegetable supply chain; marketing cooperatives (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (14)

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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:11:y:2019:i:14:p:3885-:d:249110

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