Consumer-Driven Supply Chains – Dutch Organic Tomato

Abstract: Supply chain management refers to the efficient integration of various processes involved in turning resources into consumer products. Effectiveness of the supply chain is more easily understood in terms of Value Chain Management, and the integration of processes that turn resources into consumer value. The current paper reports two studies into the value chain of organic produce in The Netherlands. The paper combines two different research approaches to study which consumer motives and values are the main drivers of organic consumption. In a qualitative laddering (N=72) study, three distinct groups of motives were identified. These motives are centred around hedonic, benevolent, and universalist values. In a quantitative survey (N=1453), the importance of naturalness and environmental friendliness as primary driver for organic was confirmed. The study reconfirms earlier findings that health and taste are important motives driving organic food consumption, and that next to this environmental friendliness and naturalness are important drivers. More fundamentally, the consumption value of organic food is strongly related to social and ethical principles and beliefs. By committing itself to superior ethical performance the organic supply chain could create a competitive advantage that is not easily copied by competing products.

Reference: Anastasiadis, F. F., & van Dam, Y. K. (2014). Consumer driven supply chains: the case of Dutch organic tomato. Agricultural Engineering International: CIGR Journal, 1621-30.