Developments and Development Directions of Electronic Trade Platforms in US and European Agri-Food Markets: Impact on Sector Organization



provided by Research Papers in Economics



International Food and Agribusiness Management Review
Volume 7, Issue 1, 2004

Developments and Development Directions of Electronic Trade
Platforms in US and European Agri-Food Markets: Impact on
Sector Organization

Melanie Fritza®, Tobias Hausen b, and Gerhard Schiefer c

a, b, c Chair for Business Management, Organization and Information Management, Department of
Food andAgricultural Economics, University ofBonn, Germany

Abstract

Electronic trade platforms support trading transactions between enterprises. They
have entered the business landscape including the agri-food sector only a few years
ago. However, there already have been dramatic changes in the agri-food sector’s
platform infrastructures. This paper analyzes developments in electronic trade
platform infrastructures in the agri-food sector of the US and Europe between 2000
and 2002 and identifies development strategies of successful platforms. Of 85
platforms in existence in the year 2000, only 25 remained active in 2002. But there
are still market entries of new platforms and existing platforms form various types
of partnerships. The analysis could identify a range of strategic development lines
of successful platforms. Initiating cooperation with other platforms on the use of
specific features and the development and use of standards, gaining support by
major market participants, the improvement of trading functionalities and the
expansion of value-added services are the primary lines of development and
evolvement of platforms. Platform evolvement tendencies and the present
occurrence of the trade platform infrastructure allow for projecting the emergence of
an agri-food sector with embedded, interconnected e-commerce infrastructure or
mega-hub leading towards a more networked agri-food industry.

Keywords: electronic commerce, electronic trade platforms, agri-food markets

® Corresponding author: Tel: + 1-49-228-733-507

Email: [email protected]

Other contact information: T. Hausen: [email protected]; G. Schiefer: [email protected]

© 2004 International Food and Agribusiness Management Association (IAMA). All rights reserved.



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