Appreciating Multiple Realities in the Transformation towards a Sustainable Dairy Sector: An Explorative Study from the Inside-Out Perspective

Abstract

The dairy sector is in a systemic lock-in due to reinforcing cycles. This qualitative study, based on 13 in-depth interviews with frontrunning dairy farmers and additional observations, challenges this impression by looking at the sustainable business model innovation from the inside-out perspective of the sustainability-driven niche. The theoretical foundation rests in market transformation, looking at the co-evolution of sustainable business models, regime, system barriers and niche players. The objective is to gain a better understanding on the practices of frontrunner dairy farmers that innovate and overcome system barriers in the transformation from the current regime. The data is collected in 2020 and the analysis is based on template analysis. This study clustered the practices in five groups: an extra margin on milk, perceived support for product diversification, partnerships with specialists, increased transparency, and use of modern technology. Additionally, the appreciation by the farmers of multiple realities and their entrepreneurial competencies helped the dairy farmers to re-establish a closer connection between farmer and consumer, and a better connection between farmer and the production environment, resulting in more biodiverse and landscape-inclusive dairy farming. These insights will help policy makers better cater to the beliefs and values of dairy farmers.