Co-creation Benefits by Re-configuring the Value Network in Creative Agri-food Transformation through the SMEs e-commerce channel: A Business Market Perspective

Abstract

The information and communication technology revolution has led to the adoption of technologies such as the internet for generating value for businesses. Meanwhile, little is known about the role of e-commerce in value co-creation initiatives for agri-food SMEs and specifically its role in the collaboration of business actors and customers where the overall objective of generating benefits from the exchange process. This study addresses the gap regarding the expected benefits of value co-creation in the agri-food market channel transformation. The transformation of fresh produce marketing in Indonesia, from a product-focused approach towards a customer-centric approach, was selected to explore value co-creation and its potential benefits, including the exchange of tangible resources, intangible resources and knowledge. A qualitative method was undertaken through indepth interviews with multiple agri-food actors. The findings illustrate that e-commerce involves fewer intermediaries through short food supply chains (SFSCs) by facilitating the engagement of multiple stakeholders. Agri-food co-creation via e-commerce provides a solution to address market needs through collaboration within the agribusiness networks. The ecommerce channels reveal the benefits for both agribusiness actors and consumers. The findings propose insights into the co-creation concept in an agri-food context through the online platforms, that will have a theoretical and practical contribution for future business and marketing. Keywords—value co-creation, food e-commerce, short supply chains, value networks, market channel transformation