Experience the difference: the competitive strategies of food‐related entrepreneurs in rural denmark

Abstract

As food production becomes increasingly integrated, globalized and competitive, small-scale food-related enterprises in many European countries are struggling to market and monetize their products. Although these struggles have been well documented, few studies have considered the ways in which food-related entrepreneurs in rural contexts are adapting to and overcoming these challenges. In particular, little is known about how they differentiate and add value to their products. This article focuses on the development and implementation of new and hybrid commercial strategies by food-related entrepreneurs in three rural communities in Denmark. These strategies add experiential elements to the longstanding practice of commodifying myths associated with rural settings and identities. Although harnessing culture and experiences to sell things is nothing new, we demonstrate that some Danish entrepreneurs are responding to market competition by tweaking and extending these concepts. In particular, it is argued that entrepreneurs use different experiences with varying levels of intensity and consumer engagement for different purposes. Whereas passive experiences such as storytelling are used to educate consumers about the specific qualities of products, more active and participatory experiences are sold as add-ons and standalone products. The findings contribute to our understanding of food-related entrepreneurship in rural contexts, consumption, value creation and the experience of economy more broadly.

Understanding the role of environmental quality attributes in food-related rural enterprise competitiveness

“…Thy Lam and Den Bornholmske Gårdbutik, for example, supply meat to restaurants in Arhus and Copenhagen, respectively. These restaurants generate value by telling their customers about the treatment of the animals (Arthur and Hracs, 2015). Natural environments in Thisted such as the National Park and the Hammer Hus in Bornholm, as identified in this research, have also been key external resources used by rural food-related enterprises.…”

“…The majority of small rural enterprises are marked by their inability to introduce disruptive innovation in the market, as they usually do not command the resources to drive, for example, research and development or expensive marketing campaigns (Arthur and Hracs, 2015;Steiner and Atterton, 2015). This is coupled with the challenge of small markets, geographic remoteness, and low population densities of many rural areas (Arthur and Damoah, 2015;Steiner and Teasdale, 2017).…”

“…Bornholm has a unique natural landscape, very distinct from that of mainland Denmark. Bornholm is characterized by hills, waterfalls, dramatic rocks, rocky coastlines, rift valleys, sandy beaches, harbours, lakes, wildlife, and exotic botanical species (Arthur and Hracs, 2015).…”

“…Among the island's various environmentally friendly ventures is the Green Solution House, the world's first hotel built with reusable or biodegradable materials, which was officially opened by Denmark's Crown Prince Frederik in April 2015 (Orange, 2015). In general, Bornholm is considered to have built a strong brand that covers several enterprises, with growth potential in smaller niche productions and larger exporting industries, as well as in tourism (Arthur and Hracs, 2015).…”

“…Morsø Municipality is situated also in the north-west part of Denmark, borders very close to the eastern part of Thisted, and is approximately 390 km from Copenhagen (Arthur and Hracs, 2015). Compared with Thisted, Morsø is small in area, although it is the largest among all the islands on the Limfjord in Denmark.…”