Governance of market-oriented fresh food value chains: export chains from New Zealand
In: International Food and Agribusiness Management ReviewSearch for other papers by Jacques Trienekens in
Current site
Google Scholar
Search for other papers by Mariska van Velzen in
Current site
Google Scholar
Search for other papers by Nic Lees in
Current site
Google Scholar
Search for other papers by Caroline Saunders in
Current site
Google Scholar
Search for other papers by Stefano Pascucci in
Current site
Google Scholar
The competition in international food markets is increasingly moving towards products with higher levels of added value and higher degrees of differentiation, requiring companies to become more market-oriented. Market orientation is ‘the extent to which an actor in the marketplace uses knowledge about the market, especially about customers, as a basis for decision-making on what to produce, how to produce it, and how to market it’. Market orientation comprises three constructs: market intelligence generation, dissemination and responsiveness. Value chain governance can facilitate market orientation requirements. Value chain governance includes network governance, contracting and informal relationships. Knowledge about how governance can facilitate a value chain’s market orientation is limited. Therefore, the aim of this study is to explore how the governance of a global food value chain can facilitate the value chain’s market orientation. The study applies a multiple case study design. Four in-depth case studies were conducted on global food value chains from New Zealand to Western Europe dealing with the products apples, kiwis, venison and lamb. Interviews were conducted with actors from these four value chains in the Netherlands as well as in New Zealand. In each value chain actors with similar functions were interviewed in order to make the results comparable. Analysis of the case studies shows that network governance (i.e. leadership, shared governance and facilitation), contractual agreements (i.e. type and content: price, volume, quality) and informal relationships (i.e. trust and commitment) can contribute to the market orientation of a value chain. Leaderships and shared governance, in combination with good informal relationships in the chain, as well as contractual incentives, are main contributors to market orientation in global fresh food value chains. The paper adds to the still very scarce literature on governance of value chains and market orientation of value chains.
-
Alvarez, G., C. Pilbeam and R. Wilding. 2010. Nestlé Nespresso AAA sustainable quality program: an investigation into the governance dynamics in a multi-stakeholder supply chain network. Supply Chain Management 15(2): 165-182.
'Nestlé Nespresso AAA sustainable quality program: an investigation into the governance dynamics in a multi-stakeholder supply chain network ' () 15 Supply Chain Management : 165 -182 .
-
Barratt, M. 2004. Understanding the meaning of collaboration in the supply chain. Supply Chain Management 9(1): 30-42.
'Understanding the meaning of collaboration in the supply chain ' () 9 Supply Chain Management : 30 -42 .
-
Bigne, E. and A. Blesa. 2003. Market orientation, trust and satisfaction in dyadic relationships:a manufacturer-retailer analysis. International Journal of Retail and Distribution Management 31(11): 574-590.
'Market orientation, trust and satisfaction in dyadic relationships:a manufacturer-retailer analysis ' () 31 International Journal of Retail and Distribution Management : 574 -590 .
-
Deshpandé, R. and J.U. Farley. 1998. Measuring market orientation: generalization and synthesis. Journal of Market Focused Management 2(3): 213-232.
'Measuring market orientation: generalization and synthesis ' () 2 Journal of Market Focused Management : 213 -232 .
-
Deshpandé, R., J.U. Farley and F.E. Webster. 1993. Corporate culture, customer and innovativeness orientation, in a quadrad japanese firms: analysis. Journal of Marketing 57(1): 23-37.
'Corporate culture, customer and innovativeness orientation, in a quadrad japanese firms: analysis ' () 57 Journal of Marketing : 23 -37 .
-
Dolan, C. and J. Humphrey. 2004. Changing governance patterns in the trade in fresh vegetables between Africa and the United Kingdom. Environment and Planning 36: 491-509.
'Changing governance patterns in the trade in fresh vegetables between Africa and the United Kingdom ' () 36 Environment and Planning : 491 -509 .
-
Eisenhardt, K.M. and M.E. Graebner. 2007. Theory building from cases: opportunities and challenges. The Academy of Management Journal 50(1): 25-32.
'Theory building from cases: opportunities and challenges ' () 50 The Academy of Management Journal : 25 -32 .
-
Elg, U. 2008. Inter-firm market orientation and the influence of network and relational factors. Scandinavian Journal of Management 24(1): 55-68.
'Inter-firm market orientation and the influence of network and relational factors ' () 24 Scandinavian Journal of Management : 55 -68 .
-
Gereffi, G., J. Humphrey and T. Sturgeon. 2005. The governance of global value chains. Review of International Political Economy 12(1): 78-104.
'The governance of global value chains ' () 12 Review of International Political Economy : 78 -104 .
-
Gibbon, P., J. Bair and S. Ponte. 2008. Governing global value chains: an introduction. Economy and Society 37(3): 315-338.
'Governing global value chains: an introduction ' () 37 Economy and Society : 315 -338 .
-
Green Jr, K.W., R. McGaughey and K.M. Casey. 2006. Does supply chain management strategy mediate the association between market orientation and organizational performance? Supply Chain Management 11(5): 407-414.
'Does supply chain management strategy mediate the association between market orientation and organizational performance? ' () 11 Supply Chain Management : 407 -414 .
-
Grunert, K.G., L.F. Jeppesen, K.R. Jespersen, A.M. Sonne, K. Hansen and T. Trondsen. 1996. Market orientation in food and agriculture. Kluwer, Boston, MA, USA.
Market orientation in food and agriculture , ().
-
Grunert, K.G., L.F. Jeppesen, K.R. Jespersen, A.-M. Sonne, K. Hansen, T. Trondsen and J.A. Young. 2005. Market orientation of value chains: a conceptual framework based on four case studies from the food industry. European Journal of Marketing 39: 428-455.
'Market orientation of value chains: a conceptual framework based on four case studies from the food industry ' () 39 European Journal of Marketing : 428 -455 .
-
Grunert, K.G., T. Trondsen, E.G. Campos and J.A. Young. 2010. Market orientation in the mental models of decision makers: two cross-border value chains. International Marketing Review 27(1): 7-27.
'Market orientation in the mental models of decision makers: two cross-border value chains ' () 27 International Marketing Review : 7 -27 .
-
Grunert, K.G., N. Wognum, J. Trienekens, M. Wever, N.V. Olsen, and J. Scholderer. 2011. Consumer demand and quality assurance: segmentation basis and implications for chain governance in the pork sector. Journal on Chain and Network Science 11(2): 89-97.
'Consumer demand and quality assurance: segmentation basis and implications for chain governance in the pork sector ' () 11 Journal on Chain and Network Science : 89 -97 .
-
Han, J.K., N. Kim and R.K. Srivastava. 1998. Market orientation performance :organizational is innovation a missing link? Journal of Marketing 62(4): 30-45.
'Market orientation performance :organizational is innovation a missing link? ' () 62 Journal of Marketing : 30 -45 .
-
Homburg, C. and C. Pflesser. 2000. A multiple-layer model of market-oriented organizational culture: measurement issues and performance outcomes. Journal of Marketing Research 37(4): 449-462.
'A multiple-layer model of market-oriented organizational culture: measurement issues and performance outcomes ' () 37 Journal of Marketing Research : 449 -462 .
-
Hunt, S.D. and J.R. Nevin. 1974. Power in a channel of distribution: sources and consequences. Journal of Marketing Research 11: 186-193.
'Power in a channel of distribution: sources and consequences ' () 11 Journal of Marketing Research : 186 -193 .
-
Jain, V. and L. Benyoucef. 2008. Managing long supply chain networks: some emerging issues and challenges. Journal of Manufacturing Technology Management 19: 469-496.
'Managing long supply chain networks: some emerging issues and challenges ' () 19 Journal of Manufacturing Technology Management : 469 -496 .
-
Jaworski, B.J. and A.K. Kohli. 1993. Market orientation: antecedents and consequences. Journal of Marketing 57(3): 53-70.
'Market orientation: antecedents and consequences ' () 57 Journal of Marketing : 53 -70 .
-
Jeong, J.S. and P. Hong. 2007. Customer orientation and performance outcomes in supply chain management. Journal of Enterprise Information Management 20(5): 578-594.
'Customer orientation and performance outcomes in supply chain management ' () 20 Journal of Enterprise Information Management : 578 -594 .
-
Kähkönen, A.-K. and M. Tenkanen. 2010. The impact of power on information sharing in the Finnish food industry. British Food Journal 112(8): 821-835.
'The impact of power on information sharing in the Finnish food industry ' () 112 British Food Journal : 821 -835 .
-
Kaplinsky, R. 2000. Globalisation and unequalisation: what can be learned from value chain analysis. Journal of Development Studies 73(2):117-146.
'Globalisation and unequalisation: what can be learned from value chain analysis ' () 73 Journal of Development Studies : 117 -146 .
-
Karami, M., S. Malekifar, A.B. Nasiri, M.B. Nasiri, H. Feili and S.U.R. Khan. 2015. A conceptual model of the relationship between market orientation and supply chain performance. Global Business and Organizational Excellence 34(2): 75-85.
'A conceptual model of the relationship between market orientation and supply chain performance ' () 34 Global Business and Organizational Excellence : 75 -85 .
-
Kirca, A.H., S. Jayachandran and W.O. Bearden. 2005. Market orientation: a meta-analytic review and assessment of its antecedents and impact on performance. Journal of Marketing 69(2): 24-41.
'Market orientation: a meta-analytic review and assessment of its antecedents and impact on performance ' () 69 Journal of Marketing : 24 -41 .
-
Kohli, A.K., and B.J. Jaworski. 1990. Market orientation: the construct, research propositions, and managerial implications. The Journal of Marketing 54(2): 1-18.
'Market orientation: the construct, research propositions, and managerial implications ' () 54 The Journal of Marketing : 1 -18 .
-
Kwon, I.-W.G. and T. Suh. 2005. Trust, commitment and relationships in supply chain management: a path analysis. Supply Chain Management 10(1): 26-33.
'Trust, commitment and relationships in supply chain management: a path analysis ' () 10 Supply Chain Management : 26 -33 .
-
Lazzarini, S.L., F.R. Chaddad and M.L. Cook. 2001. Integrating supply chain and network. Journal on Chain and Network Science 1(1): 7-22.
'Integrating supply chain and network ' () 1 Journal on Chain and Network Science : 7 -22 .
-
Leonidou, L.C., M.A. Talias and C.N. Leonidou. 2008. Exercised power as a driver of trust and commitment in cross-border industrial buyer-seller relationships. Industrial Marketing Management 37(1): 92-103.
'Exercised power as a driver of trust and commitment in cross-border industrial buyer-seller relationships ' () 37 Industrial Marketing Management : 92 -103 .
-
Lu, H., S. Feng, J.H. Trienekens and S.W.F. Omta. 2012. Network strength, transaction-specific investments, inter-personal trust, and relationship satisfaction in Chinese agri-food SMEs. China Agricultural Economic Review 4 (3): 363-378.
'Network strength, transaction-specific investments, inter-personal trust, and relationship satisfaction in Chinese agri-food SMEs ' () 4 China Agricultural Economic Review : 363 -378 .
-
Martinez, S.W. and K. Zering. 2004. Pork quality and the role of market organization. Agricultural Economic Report 835. Available at: http://tinyurl.com/ydybhs63.
-
Matsuno, K., J.T. Mentzer and J.O. Rentz. 2005. A conceptual and empirical comparison of three market orientation scales. Journal of Business Research 58(1 SPEC.ISS): 1-8.
'A conceptual and empirical comparison of three market orientation scales ' () 58 Journal of Business Research : 1 -8 .
-
Ménard, C. 2004. The economics of hybrid organizations. Journal of Institutional and Theoretical Economics 160(3): 345-376.
'The economics of hybrid organizations ' () 160 Journal of Institutional and Theoretical Economics : 345 -376 .
-
Micheels, E.T. and H.R. Gow. 2011. The moderating effects of trust and commitment on market orientation, value discipline clarity, and firm performance. Agribusiness 27(3): 360-378.
'The moderating effects of trust and commitment on market orientation, value discipline clarity, and firm performance ' () 27 Agribusiness : 360 -378 .
-
Morgan, R.M., and S.D. Hunt. 1994. The commitment-trust theory of relationship marketing. Journal of Marketing 58(July): 20-38.
'The commitment-trust theory of relationship marketing ' () 58 Journal of Marketing : 20 -38 .
-
Narver, J.C. and S.F. Slater. 1990. The effect of market orientation on business profitability. Journal of Marketing 54(4): 20-35.
'The effect of market orientation on business profitability ' () 54 Journal of Marketing : 20 -35 .
-
Peterson, H.C., A.F. Wysocki and S.B. Harsh. 2001. Strategic choice along the vertical coordination continuum. International Food and Agribusiness Management Review 4: 149-166.
'Strategic choice along the vertical coordination continuum ' () 4 International Food and Agribusiness Management Review : 149 -166 .
-
Ponte, S. and T. Sturgeon. 2014. Explaining governance in global value chains: a modular theory-building effort. Review of International Political Economy 21(1): 195-223
'Explaining governance in global value chains: a modular theory-building effort ' () 21 Review of International Political Economy : 195 -223 .
-
Provan, K.G. and P. Kenis. 2008. Modes of network governance: structure, management, and effectiveness. Journal of Public Administration Research and Theory 18(2): 229-252.
'Modes of network governance: structure, management, and effectiveness ' () 18 Journal of Public Administration Research and Theory : 229 -252 .
-
Raynaud, E., L. Sauvee and E. Valceschini. 2005. Alignment between quality enforcement devices and governance structures in the agro-food vertical chains. Journal of Management and Governance 9: 47-77.
'Alignment between quality enforcement devices and governance structures in the agro-food vertical chains ' () 9 Journal of Management and Governance : 47 -77 .
-
Raynaud, E., L. Sauvée and E. Valceschini. 2009. Aligning branding strategies and governance of vertical transactions in agri-food chains. Industrial and Corporate Change 18(5): 835-868.
'Aligning branding strategies and governance of vertical transactions in agri-food chains ' () 18 Industrial and Corporate Change : 835 -868 .
-
Ren, Z., A. Saengsathien and D. Zhang. 2014. Modeling and optimization of inventory and sourcing decisions with risk assessment in perishable food supply chains. IEEE International Conference on Industrial Engineering and Engineering Management (pp. 934-939). Available at: http://tinyurl.com/y9l94u5y.
-
Ryu, I., S. So and C. Koo. 2009. The role of partnership in supply chain performance. Industrial Management and Data Systems 109(4): 496-514.
'The role of partnership in supply chain performance ' () 109 Industrial Management and Data Systems : 496 -514 .
-
Tomášková, E. 2009. The current methods of measurement of market orientation. European Research Studies 12(3): 135-150.
'The current methods of measurement of market orientation ' () 12 European Research Studies : 135 -150 .
-
Trienekens, J. and N. Wognum. 2013. Requirements of supply chain management in differentiating European pork chains. Meat Science 95(3): 719-726.
'Requirements of supply chain management in differentiating European pork chains ' () 95 Meat Science : 719 -726 .
-
Trienekens, J.H., P.M. Wognum, A.J.M. Beulens and J.G.A.J. van der Vorst. 2012. Transparency in complex dynamic food supply chains. Advanced Engineering Informatics 26(1): 55-65.
'Transparency in complex dynamic food supply chains ' () 26 Advanced Engineering Informatics : 55 -65 .
-
Van Vlerken, P. 2015. Opportunities for capturing a consumer premium for high-value food products – a case on the Kumanu lamb supply chain. Wageningen University, Wageningen, the Netherlands.
'Opportunities for capturing a consumer premium for high-value food products – a case on the Kumanu lamb supply chain ', ().
-
Vieira, V.A. 2010. Antecedents and consequences of market orientation: a Brazilian meta-analysis and an international mega-analysis. Brazilian Administration Review 7(1): 40-58.
'Antecedents and consequences of market orientation: a Brazilian meta-analysis and an international mega-analysis ' () 7 Brazilian Administration Review : 40 -58 .
-
Wever, M. 2012. Chain-wide consequences of transaction risks and their contractual solutions – managing interdependencies in differentiated agri-food supply chains. Wageningen University, Wageningen, the Netherlands.
'Chain-wide consequences of transaction risks and their contractual solutions – managing interdependencies in differentiated agri-food supply chains ', ().
-
Wever, M., N. Wognum, J. Trienekens and O. Omta. 2010. Alignment between chain quality management and chain governance in EU pork supply chains: a transaction-cost-economics perspective. Meat Science 84(2): 228-237.
'Alignment between chain quality management and chain governance in EU pork supply chains: a transaction-cost-economics perspective ' () 84 Meat Science : 228 -237 .
-
Williamson, O.E. 1991. Comparative economic organization: the analysis of discrete structural alternatives. Administrative Science Quarterly 36(2): 269-296.
'Comparative economic organization: the analysis of discrete structural alternatives ' () 36 Administrative Science Quarterly : 269 -296 .
| All Time | Past 365 days | Past 30 Days | |
|---|---|---|---|
| Abstract Views | 0 | 0 | 0 |
| Full Text Views | 515 | 242 | 26 |
| PDF Views & Downloads | 500 | 209 | 31 |
Governance of market-oriented fresh food value chains: export chains from New Zealand
In: International Food and Agribusiness Management ReviewSearch for other papers by Jacques Trienekens in
Current site
Google Scholar
PubMed
Search for other papers by Mariska van Velzen in
Current site
Google Scholar
PubMed
Search for other papers by Nic Lees in
Current site
Google Scholar
PubMed
Search for other papers by Caroline Saunders in
Current site
Google Scholar
PubMed
Search for other papers by Stefano Pascucci in
Current site
Google Scholar
PubMed
The competition in international food markets is increasingly moving towards products with higher levels of added value and higher degrees of differentiation, requiring companies to become more market-oriented. Market orientation is ‘the extent to which an actor in the marketplace uses knowledge about the market, especially about customers, as a basis for decision-making on what to produce, how to produce it, and how to market it’. Market orientation comprises three constructs: market intelligence generation, dissemination and responsiveness. Value chain governance can facilitate market orientation requirements. Value chain governance includes network governance, contracting and informal relationships. Knowledge about how governance can facilitate a value chain’s market orientation is limited. Therefore, the aim of this study is to explore how the governance of a global food value chain can facilitate the value chain’s market orientation. The study applies a multiple case study design. Four in-depth case studies were conducted on global food value chains from New Zealand to Western Europe dealing with the products apples, kiwis, venison and lamb. Interviews were conducted with actors from these four value chains in the Netherlands as well as in New Zealand. In each value chain actors with similar functions were interviewed in order to make the results comparable. Analysis of the case studies shows that network governance (i.e. leadership, shared governance and facilitation), contractual agreements (i.e. type and content: price, volume, quality) and informal relationships (i.e. trust and commitment) can contribute to the market orientation of a value chain. Leaderships and shared governance, in combination with good informal relationships in the chain, as well as contractual incentives, are main contributors to market orientation in global fresh food value chains. The paper adds to the still very scarce literature on governance of value chains and market orientation of value chains.
| All Time | Past 365 days | Past 30 Days | |
|---|---|---|---|
| Abstract Views | 0 | 0 | 0 |
| Full Text Views | 515 | 242 | 26 |
| PDF Views & Downloads | 500 | 209 | 31 |
