Marginal, localized and restricted activity: Business models for creation a value of local food products: a case from Poland

The purpose of this paper is to investigate marginal, localized and restricted (MLR) activities in pork processing on local food markets in Poland, and identify the value generated for individual links in the supply chain.

The paper takes a case study approach to investigate the enterprises operating as MLRs. Data were collected during direct interviews with entrepreneurs in Siedlce county, in the Mazovian Region in Poland. The methodology of the basic Business Model Canvas (BMC) was applied to distinguish the two models they operate within direct and with an agent.

The results of the research process led to identification of customer value generated by MLR activities. For example, directness, authenticity and high quality, which are the main features that differentiate MLR from conventional activities.

The case studies selected for the research were typical of their local food system (LFS). However, it can be expected that the processes described herein can also be found in the various different environments of other small and medium enterprises.

The models worked out during the research process fit perfectly into the assumptions of sustainable rural development, and their implementation could be a source of competitive advantages in LFS.

While MLR activities are usually characterized by the legal perspective, less is known about their operation in practice. This is the first academic study in Poland investigating MLR business models. With application of the BMC, this analysis could be used as a tool guide for building similar models on local food markets. Studies of business models for pork processing could provide inspiration for both academics and practitioners dealing in other food sectors.