How to Pursue the Right Growth Strategy in a Changing Market: The Case of Organic Valley

Abstract

This case study helps illuminate the role played by cooperatives in making small organic farms economically and ecologically viable entities. The case specifically focuses on a key managerial decision facing a U.S. cooperative: what kind of a growth strategy would be conducive for a sustainable enterprise such as Organic Valley? Would it be optimal to increase its cooperative membership base? Should it continue focusing on niche markets? How can it enhance its social and environmental impact and, at the same time, increase sales in a competitive market? The case brings to light sustainable business strategies, green entrepreneurship, and green marketing in the context of organic dairying.

This case was prepared for inclusion in Sage Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.

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