Challenges of a Vertical Coordinated
Agri-Food Business for Co-operatives

By Jon Hanf

Today, Raiffeisen co-operatives still play a key role in the German agri-food sector because of or despite their long history. Nevertheless, despite their present importance, questions about their future role in a changing agri-food business have to be raised. As a result of changes in the agri-food business a change within the vertical coordination can be seen, ie vertical coordinated systems have been established. Hence, the questions arise “what role can co-operatives play in such vertical coordinated chain systems” and “how can they deal with the related managerial challenges”.