MANAGING PROCUREMENT OF FOOD WITH ADDED VALUE: A CASE STUDY OF BEEF IN THE CATERING SECTOR

Consumers have limited options to choose food with added values in the catering market. Management challenges include making informed product portfolio decisions of what to offer the consumers. These decisions are based on procedures for procuremen. The public procurement process is inluenced by political objectives and a different set of laws compared to private procurement. This research project explores the management of procurement conditions for food products with added values; with a particular interest in beef in public and private restaurants. The results show that personal values of professional purchasers play a key role in the procurement decision. In the commercial sector, marketing of food with added values can provide opportunities for differentiation. In public procurement, opportunities for food with added values are influenced by politics and legislation. Main management obstacles perceived by catering units purchasing beef with added values are associated with lack of volumes, ineffective distribution and higher prices.