Application of Multicriteria Analysis for Evaluation of Innovative Business Models for Small Farms in Food Chains

Krassimir Kostenarov, Dimitre Nikolov, Ivan Boevski

Abstract: Under the conditions of dynamic market processes, small farms may lose out of their competitiveness due to a set of factors. Modern market channels are not attractive for small farms. In response to the dynamic environment, small farms could implement innovative business models in their business to enable them to use their strengths and try to avoid those business practices that lead to loss of competitiveness or financial loss. This article discusses the main problems faced by small farms. On the other hand, the process of constructing business models is tracked. At the last stage, three innovative business models are constructed, defining them, defining the main elements of the strategies and the possible alternatives to their use. Using the ANP method, an expert assessment of the importance of the elements of different business models is performed and a quantitative ranking of the alternatives is given.

Keywords: agriculture; food chains; innovative business models; Multicriteria analyzes; small farms

Date published: 2019-04-25