Harvard Case - Bertrams Inner City Farm: Pro-Social Organic Agricultural Activities for Sustainable Societal Impact
"Bertrams Inner City Farm: Pro-Social Organic Agricultural Activities for Sustainable Societal Impact" Harvard business case study is written by Gloria Mbokota, Anastacia Mamabolo. It deals with the challenges in the field of Entrepreneurship. The case study is 11 page(s) long and it was first published on : Dec 12, 2023
At Fern Fort University, we recommend Bertram?s Inner City Farm adopt a hybrid growth strategy that leverages both social entrepreneurship and business expansion to maximize its impact and sustainability. This strategy involves:
- Scaling the existing model: Expanding the farm?s operations through strategic partnerships, community engagement, and technology adoption.
- Developing a new revenue stream: Creating a social enterprise focused on providing organic produce and educational experiences to a wider market, including restaurants, schools, and businesses.
This approach will enable Bertram?s to achieve its mission of providing healthy, affordable food while creating a sustainable and scalable business model.
2. Background
Bertram?s Inner City Farm is a non-profit organization operating in an urban environment, dedicated to providing fresh, organic produce to low-income communities. The farm faces challenges in scaling its operations and securing financial stability. The main protagonists are:
- Bertram: The founder and passionate advocate for the farm?s mission.
- The Board of Directors: Responsible for overseeing the farm?s operations and financial stability.
- The Community: The beneficiaries of the farm?s efforts, who rely on its affordable and nutritious food.
3. Analysis of the Case Study
SWOT Analysis:
Strengths:
- Strong mission and community impact: Bertram?s provides a valuable service to its community, addressing food insecurity and promoting healthy eating.
- Experienced leadership: Bertram?s founder possesses deep knowledge of organic farming and community engagement.
- Positive community relations: The farm enjoys strong support from local residents and organizations.
Weaknesses:
- Limited resources: The farm struggles with financial constraints and limited staff capacity.
- Scalability challenges: The current model is difficult to expand due to limited land and resources.
- Dependence on grants and donations: The farm?s financial stability is heavily reliant on external funding.
Opportunities:
- Growing demand for organic food: Consumers are increasingly interested in healthy and sustainable food options.
- Government initiatives: Local and national governments are promoting urban agriculture and food security.
- Partnerships: Collaboration with businesses, schools, and other organizations can enhance reach and resources.
Threats:
- Competition from larger farms: Bertram?s faces competition from established farms with greater resources.
- Economic uncertainty: Fluctuations in the economy can impact funding and consumer demand.
- Land availability: Finding suitable land for expansion in urban areas can be challenging.
Porter?s Five Forces:
- Threat of new entrants: High, due to the relatively low barriers to entry in urban agriculture.
- Bargaining power of buyers: Low, as the farm serves a community with limited options for affordable, organic produce.
- Threat of substitutes: Moderate, as consumers have access to conventional produce and other food sources.
- Bargaining power of suppliers: Low, as the farm sources many inputs locally and has limited dependence on specific suppliers.
- Rivalry among existing competitors: Moderate, as the farm competes with established farms and community gardens.
4. Recommendations
Short-Term:
- Strengthen community engagement: Organize workshops, cooking classes, and volunteer opportunities to increase awareness, build relationships, and generate revenue.
- Implement technology: Utilize web and mobile applications to streamline operations, track inventory, and connect with customers.
- Seek strategic partnerships: Collaborate with local businesses, restaurants, and schools to expand distribution channels and increase revenue.
- Develop a comprehensive business plan: Outline the farm?s long-term vision, financial projections, and key performance indicators.
Long-Term:
- Establish a social enterprise: Create a separate entity that sells organic produce and provides educational experiences to a wider market.
- Develop a scalable model: Explore innovative farming techniques, such as vertical farming and hydroponics, to increase productivity in limited space.
- Secure funding: Explore options for entrepreneurial financing, including venture capital, angel investing, and crowdfunding.
- Build a strong brand: Develop a compelling brand identity that highlights the farm?s mission, values, and impact.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core competencies and consistency with mission: The recommendations align with Bertram?s mission to provide healthy, affordable food while creating a sustainable business model.
- External customers and internal clients: The recommendations address the needs of both the community and the farm?s internal stakeholders.
- Competitors: The recommendations aim to differentiate Bertram?s from competitors by focusing on social impact, community engagement, and innovative farming techniques.
- Attractiveness ? quantitative measures: The recommendations are expected to increase revenue, improve efficiency, and enhance the farm?s financial stability.
6. Conclusion
By adopting a hybrid growth strategy that combines social entrepreneurship and business expansion, Bertram?s Inner City Farm can achieve its mission of providing healthy, affordable food while creating a sustainable and scalable business model. This approach will enable the farm to address the needs of its community, attract investors, and secure its long-term viability.
7. Discussion
Alternative Options:
- Focus solely on social entrepreneurship: This option could limit the farm?s growth potential and financial stability.
- Focus solely on business expansion: This option could compromise the farm?s social mission and alienate its community.
Risks and Key Assumptions:
- Market acceptance: The success of the social enterprise depends on consumer demand for organic produce and educational experiences.
- Financial sustainability: Securing sufficient funding to support the expansion is crucial.
- Competition: The farm must be prepared to compete with established farms and other food providers.
8. Next Steps
- Develop a detailed business plan: Outline the farm?s long-term vision, financial projections, and key performance indicators.
- Secure funding: Explore options for entrepreneurial financing, including venture capital, angel investing, and crowdfunding.
- Establish the social enterprise: Develop a business model, marketing plan, and operational procedures for the new entity.
- Implement technology: Invest in web and mobile applications to streamline operations, track inventory, and connect with customers.
- Build a strong brand: Develop a compelling brand identity that highlights the farm?s mission, values, and impact.
By taking these steps, Bertram?s Inner City Farm can position itself for sustainable growth and continued success in its mission to provide healthy, affordable food to its community.
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Case Description
Refiloe Molefe, affectionately known as Mama Fifi, was a humane agripreneur running an urban organic vegetable farm, Fifi's Veggie Farm (Bertrams Inner City Farm), in Johannesburg, South Africa. Molefe's vision was to empower the nearby urban communities and ensure food security by selling fresh vegetables, teaching the community how to plant organically, and employing community members to work on the farm. She successfully implemented farming activities through partnerships with various governmental institutions, companies, and universities. Many organizations recognized her work on the farm, which received donations, won competitions, and obtained multiple awards.
Around 2019, while Molefe's agribusiness was gaining momentum in the area and beyond, the City of Johannesburg Metropolitan Municipality was planning to build a multipurpose centre on the farm premises as part of its strategic objectives. In early May 2022, she was invited to discuss the demolition of the building and the municipality's decision to move her to a new place in Eikenhof, on the city's outskirts. Molefe was informed that, on May 26, 2022, the mayor would be handing over the premises to the contractors, and she would have to move to the new location. The new site did not have adequate infrastructure to support organic farming practices and would require her to share the location with farmers who used chemicals, potentially contaminating the soil and endangering her organic farming practices. Not wanting to depend on the government, she was weighing another option: to operate at a local church south of Johannesburg. She had to decide whether to accept the municipality's offer, use the local church premises, or buy land she could own for a more sustainable future.
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