By Aileen Ionescu-Somers, Ulrich Steger
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Extra info for Business Logic for Sustainability: An Analysis of the Food and Beverage Industry
Sustainable agriculture pilot projects focus on opportunities to create value in areas of strategic business concern, and introduce measurable indicators of sustainability performance, thus linking business performance and improved sustainability performance. The creation of value in these areas can contribute in turn to product differentiation, eventually enabling companies to demand a product price premium or access increased brand loyalty. It remains to be seen whether experimental practices in the industry will move into the mainstream.
We met managers who perceived potential for large, global companies to make a difference mid-term: If large companies change, then the markets will change. It will progressively become clear that all the work in the supply chain will only get so far and the consumption side of the equation will have to kick in. I see a huge change, not in the next five years maybe, but certainly within a five to ten year perspective. (BCS43 – Senior business manager, Marketing) Any research is but a snapshot of an existing state of affairs.
As they move along the spectrum of wealth creation, people also begin eating not only to satisfy basic nutrition needs, but also for pleasure – so called ‘indulgence eating’ – and in more sophisticated markets, increasingly for health benefits. It seems that little will change the trend amongst consumers in the United States and in Europe to opt for convenience and indulgence in their food consumption (OECD, 1998). In currently defined middleincome markets, we can expect similar trends to those currently observed in high income markets; an increasing popularity of fast, processed and indulgence food and more diversified consumption.
Business Logic for Sustainability: An Analysis of the Food and Beverage Industry by Aileen Ionescu-Somers, Ulrich Steger