A Value Chain Analysis of Rice Commodity: Value Addition and Develop Strategies

Shinta Amelya Sandra, Wisynu Ari Gutama, Destyana Ellingga Pratiwi and Anni Rahimah ()
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Shinta Amelya Sandra: Universitas Brawijaya, Department of Business Administration
Wisynu Ari Gutama: Universitas Brawijaya, Department of Agricultural Socioeconomics, Faculty of Agriculture
Destyana Ellingga Pratiwi: Universitas Brawijaya, Department of Agricultural Socioeconomics, Faculty of Agriculture
Anni Rahimah: Universitas Brawijaya, Department of Business Administration

A chapter in Proceedings of the Brawijaya International Conference on Business Administration, Taxation, and Tourism (BICBATT 2022), 2024, pp 130-136 from Springer

Abstract: Abstract Uncertainties in rice demand and supply has been impacted market price and simultaneously to each main actors marketing margin. Taking consciousness to the phenomenon, recent study was organized in order to serve a proper explanation of current rice marketing channel activity, involving its value addition processes to evaluate rice value chain performance. This study was carried out to describe the rice value chain activities and calculate each actor’s profit. Research also concerned with portraying strategies to improve competitive advantage of Rumah Pangan Kita as a rice retailer. This research incorporates the value chain analysis (VCA) framework and Strength-Weakness-Opportunity-Threat analysis of the rice value chain (RVC) to look at value adds and suggested upgrading measures to identify various segments in the RVC and improve the competitiveness. Marketing and sales activity and firm infrastructure contributed the highest potential value to Rumah Pangan Kita’s business. Meanwhile, marketing chain has shown that rice millers have the significant profit. The following analysis revealed that internal and external environment of Rumah Pangan Kita supported its strong position. Maintaining the sustainability of the rice value chain by involving Rumah Pangan Kita in its marketing channel will significantly boost actors’ welfare and strengthen Rumah Pangan Kita’s competitive advantage.

Keywords: Value Chain Analysis; Strategy; Competitive Advantage (search for similar items in EconPapers)
Date: 2024
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DOI: 10.2991/978-94-6463-240-8_16

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