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How could Vertical Farming offer new Business Opportunities within Europe from a Customer Acceptance perspective ? : A Qualitative study on Customer Acceptance of Vertical Farming products within Europe.

This study investigates vertical farming and its potential as an efficient agricultural method. With significant potential, including higher yields per unit area to address critical issues suchas food shortages. The method boasts increased productivity within a limited space, presenting a substantial crop yield compared to traditional farming practices. This makes VFparticularly relevant in the face of a growing global population, particularly in urban areas,and provides a viable means of cultivating food in regions plagued by challenging climateconditions. Despite its numerous advantages, VF encounters potential challenges, notably interms of customer acceptance. Concerns among the general public may arise due to theunconventional setting of plant production, reliance on artificial light, and associated costs. Consequently, there is a crucial need to delve into and evaluate the acceptance of VF productsby consumers. This thesis aims to provide in-depth insights into the acceptance of VF amongconsumers in European countries. By addressing concerns and perceptions addressingsustainability, cost, and the unconventional nature of VF systems, the research seeks tocontribute valuable knowledge to the discourse on the future of agriculture and its role inmitigating food shortages. Through a nuanced exploration of customer attitudes andexpectations, this study aspires to shed light on the potential challenges and opportunities forthe widespread adoption of vertical farming in European contexts. However, the findings of this paper indicate that, at present, VF products are suitable for aspecific segment of young and affluent consumers. The primary factors influencing thechoice of these particular customers are a general lack of awareness and the high associated costs. The acceptance of VF products by European consumers may positively influence theirpurchasing choices due to factors such as sustainability, technological awareness, innovation,novelty, curiosity, quality, absence of chemicals, freshness, trust in government rules andregulations, and the direct purchase option. Conversely, it could have negative effectsattributable to a high price, lack of awareness, adherence to traditional values or distrust oftechnology, absence of organic labels, or a preference for alternative organic methods. The primary opportunities for customer attraction lie in affluent area supermarkets. Asmentioned earlier, a significant barrier observed among consumers is their lack of awarenessregarding VF products. It is recommended that VF organizations devise strategies tointroduce their products and services via the internet and diverse media, tailored to thegeographic locations of their consumers. Participants with pre-existing knowledge providedthe most positive feedback regarding the acceptance and purchase of VF products. Additionally, given the local proximity of VF to cities, facilitating direct purchases at thefarm could further enhance customer appeal. Positive mentions from participants include trustin the direct supply chain and a lower price. The primary hurdle involves the imperative to expand operations and decrease expenses torevolutionize the industry, making it accessible to a wider audience. Minor challenges includetechnological skepticism, absence of organic labeling, variability in electricity costs, and aprevailing lack of awareness regarding VF, although this may change over time. Prospectiveresearch could quantitatively explore variations among countries and demographic factorsinfluencing customer acceptance of VF products

Identiferoai:union.ndltd.org:UPSALLA1/oai:DiVA.org:umu-227455
Date January 2024
CreatorsBrenas, Louis, Jahangir, Asif
PublisherUmeå universitet, Företagsekonomi
Source SetsDiVA Archive at Upsalla University
LanguageEnglish
Detected LanguageEnglish
TypeStudent thesis, info:eu-repo/semantics/bachelorThesis, text
Formatapplication/pdf
Rightsinfo:eu-repo/semantics/openAccess

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