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

M. Fritz, et al. / International Food and Agribusiness Management Review Volume 7, Issue 1, 2004

presented in section 2 (Fritz, Hausen, Schiefer 2003). Table 4 shows the models
with their respective criteria combination in order of importance for the respective
model and discusses strategic advantages that may be associated with each model.

A combined consideration of development strategies and platform models
implementing the different development strategies gives insights into the way
platforms interact with the agri-food sector and allows for an estimation and
projection of middle-term implications for the sector’s organization.

The platform development strategies (section 4) may be classified in two principal
groups (see fig. 4),

■ platform cooperation initiatives and

■ platform improvement initiatives.

DEVELOPMENT
STRATEGY

Large consortia     Large consortia           All platform models

Neutral verticals    Neutral verticals

Followed by

Improvement
of trading
functionalities

Expansion
of value-
added
services

Gaining
support by
market
participants

development

(5.2.1)

Sharing
of
trade features

(5.2.2)

CONSEQUENCES

Figure 4: Implications from Trade Platforms on Agri-food Sector Organization

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

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