A New Food Business Model for the Small Food Firms

Abstract

This research aims to explore and investigate the empirical core elements essential to constructing a new comprehensive business model for small food firms. Grounded theory was adopted as a principle investigation tool to formulate the theory. A content analysis technique was used to determine the presence of and acquire insight into the beliefs that underlie the assertions. This study discovered six essential components that formed small food firms' business models. These six components in the new business model consist of innovation, value proposition, value delivery, revenue model, compelling strategy, and performance improvement. A component change affects all the others in the model as a whole. The new food business model can be a reliable engine for the growth of a small food firm. It helps small food firms better organize their resources while providing a systematic direction for revenue generation. Small food firms can apply the new food business model as a tool to assess the expansion and growth of the food business. This study complementarity extends the contribution to the literature on the business model and food entrepreneur aspects in a selected segment.