Introduction
In the current world, the business landscape is rapidly changing, and corporate entrepreneurship is gaining substantial prominence as organizations seek to foster innovation and remain competitive. Corporate entrepreneurship, also referred to as Intrapreneurship, is a methodology utilized to establish new business products, opportunities, or services with a company: and the process seeks to drive revenue growth, create value, and encourage innovation inside the organization through entrepreneurial actions and thoughts (CIIT College of Arts and Technology, 2023). It also involves creating an environment that encourages staff to take risks, think creatively, and pursue new opportunities, ultimately for market expansion, driving growth, and product innovation. Intrapreneurship represents a departure from traditional hierarchical structures, where risk-taking and innovation were only for founders and top executives, and instead, it encourages all stakeholders from all levels of the company to embrace an entrepreneurial mindset, explore new possibilities, and challenge existing norms. By empowering employees to act as internal entrepreneurs, an organization can leverage their diverse perspectives, tap into their creative potential, and unlock untapped sources of value (Glinyanova et al., 2021, 1733). At the heart of Intrapreneurship lies the recognition that adaptability and innovation are essential for sustainable success in the current business environment, and organizations can respond o technological advancements, market changes, and shifting consumer preferences through fostering an intrapreneurial culture. They become resilient, agile, and capable of seizing new opportunities while mitigating potential threats. Intrapreneurship recognizes that market adaptation, innovation, and product development are not only for external ventures or startups but also can thrive within well-established organizations. The paper focuses on Hoeve Waterrijk Dairy Farm. It is a family farm on the Island on the edge of the Kagerplassen in South Holland (the island of the Buurterpolder in Rijpwetering) ( Hoeve Waterrijk, 2023). The only means of transport to the farm is by water, traditionally done by rowing boats but currently facilitated by ferries.
The Importance of Intrapreneurship in Hoeve Waterrijk Culture
Corporate Entrepreneurship is relevant in maintaining Hoeve Waterrijk’s market position and facilitating long-term sustainability. By cultivating and ensuring an intrapreneurship culture, Hoeve Waterrijk can leverage the staff’s innovative thinking, knowledge, and creativity to adapt to changing consumer preferences, driving growth, and exploring new opportunities within the industry. The need for corporate entrepreneurship is obvious, particularly with the pressing conditions that organizations are facing today: these conditions threaten organizations’ growth and productivity potentials, and they include the exodus of key investors, downsizing of major organizations, sense of distrust in the conventional methods of corporate management, and rapid increase in the number of new and sophisticated competitors (Tseng and Tseng, 2019, p. 109). The relevance of Intrapreneurship in Hoeve Waterrijk includes the following:
Sustainable Product Development: corporate entrepreneurship is essential in driving expansion and diversification at Waterrijk. One of the most significant contributions of intrapreneurship is a behavior found in organizations is strengthening staff capability to examine markets and develop new products (Tseng and Tseng, 2019, p. 110). Staff are encouraged to explore new opportunities based on consumer demand and preferences, especially with an environmentally friendly mindset. For example, Waterrijk intrapreneurs can propose implementing innovative packing solutions that minimize wastage or the creation of dairy products from locally sourced organic makings. Corporate entrepreneurship can help Waterrijk differentiate itself, compete for more, and attract environmentally friendly consumers.
Diversification and Expansion: corporate entrepreneurship can enhance expansion and diversification in Wterrijk by empowering staff to identify potential areas where the dairy farm employees can be empowered to identify potential areas for development and growth or innovation beyond traditional dairy products. Any firm that embraces intrapreneurship, the birth of new business organizations, the transformation of existing organizations, and innovation happens (Tseng and Tseng, p. 110). The three phenomena facilitate diversification and expansion. For instance, the employees may suggest establishing value-added products such as yogurt-based beverages, artisanal cheeses, or dairy-based snacks. Waterrijk can expand its product portfolio, changing consumer preferences, and capture new market segments by encouraging corporate entrepreneurs.
Collaboration and Knowledge Sharing: the company has a culture of collaboration ad knowledge sharing that can enable corporate entrepreneurship to thrive. Employees from diverse departments can collaborate on projects and bring diverse ideas, perspectives, and expertise. Such collaboration sparks creativity, encourages the exchange of thoughts, and results in more comprehensive solutions. For instance, Waterrijk corporate entrepreneurs can collaborate with marketers, nutritionists, and researchers to develop and launch new dairy products modified to meet specific consumer segments’ needs.
Process Optimization and Efficiency: it can enable Waterrijk to enhance efficiency and continually improve its operational processes. A company with an intrapreneurship culture encourages its staff to pinpoint errors or inefficiencies, recommend innovative solutions, and implement strategic improvements. Corporate entrepreneurship comprises diverse initiatives such as sustained regeneration, strategic renewal, redefinition, business model reconstruction, and organizational rejuvenation (Urbaniec and Żur, 2021, p. 868). The mentioned initiatives are driving forces toward process optimization and efficiency. For instance, Watarrejk embracing initiatives such as integrating data-driven technologies for herd management, optimizations of feed management, or adopting automated milking systems can enhance productivity, maintain its competitive advantage, and reduce operational costs.
Potential Challenges that Waterrijk Faced During COVID-19 Pandemic
The COVID-19 pandemic presented diverse challenges for businesses across the globe and in all industries, not excluding the dairy industry. COVID-19 affected most businesses worldwide, leading to unprecedented disruption of commerce in most industry sectors (Donthu and Gustafsson, 2020, p. 284). Waterrijk, a business in operation during the pandemic, faced various significant challenges during this unprecedented crisis. Some of the challenges that Waterrijk may have encountered are:
Disrupted Supply Chain: COVID-19 led to supply chain disruption, such as transportation and logistics. Lockdown, border closure, and travel restrictions implemented by the government may have impacted the farm’s capability to source inputs such as veterinary supplies and animal feeds. Restrictions on gathering may have affected the Waterrijk working force leading to difficulties in managing farm operations efficiently.
Consumer Behavior Shifts: the crisis led to a shift in consumer preferences and behaviors. Some Waterrijok consumers might have turned to alternative products, such as cheap non-dairy or plant-based options, and panic buying. This may have been influenced by changes in income as a large population lost their jobs hence the change in households’ income leading to Waterrijk losing some of its consumers. During the pandemic, consumer behavior changed, and most people started stockpiling especially cleaning material, panic buying, decreased demand, and others escaping to rural areas (Donthu and Gustafsson, 2020, p. 285). Adapting to changing consumer behaviors and addressing sustainability, health, or affordability issues may have necessitated strategic adjustments in marketing strategies and product offerings.
Fluctuating Demand: COVID led to fluctuating consumer demands for dairy products. Initially, panic buying and stockpiling caused high demand, leading to supply shortages and challenges in servicing the demand. However, economic uncertainties and the lockdown shift lowered the demand levels. The closure of hotels, restaurants, and other food service channels may have caused decreased demand for Waterrijk products.
Financial and Economic Impact: the general economic impact of the pandemic might have affected Waterrijk’s financial stability, influenced by uncertainties in the market, reduced consumer spending power, and difficulties in accessing financial support or programs, especially from the government. The pandemic affected individuals economically globally, affecting global trade and economy: it impacted production, employment, exports, and imports (Akbulaev et al., 2020, p. 115). The government tended to shift its financial resources to combat the spread of the Pandemic, and business was not among the priority at the time.
Health and Safety Measures: trying to comply with the implemented standards and protocols from the government to ensure the health and safety of customers and employees became a paramount issue during the pandemic. The protocols, including sanitization, social distancing, and individual protection equipment, may have cost Waterrijk extra resources due to increased operational costs.
Marketing Strategies and Different Approaches that Waterrijk Can Utilize To Attract New And Existing Customers Back Post COVID-19 Pandemic
To attract existing and new customers to the business post-Covid-19 pandemic, the company can implement diverse marketing methodologies and tactics tailored to the changing consumer landscape. Some of the effective strategies to be considered include:
Digital Marketing and E-commerce: Waterrijk can attract new and existing customers by strengthening its online presence through social media platforms, user-friendly websites, and e-commerce capabilities. The digital technologies and opportunities presented by the digitalization of organizations’ activities create new diversified tools for attracting and engaging consumers to attain high customer loyalty (Veleva and Tsvetanova, 2020, p. 1). The company may engage effectively with customers through social media platforms such as Facebook, Tiktok, Twitter, and Instagram by sharing farm stories, recipes, and engaging content that foster community. Waterrijk may also present online ordering and delivery options to make it easier for consumers to access their products.
Communication and Transparency: the company should prioritize transparency and communication with its consumers by presenting updates on farm operations, safety measures, and product pricing and availability changes. The organization should understand that organizations that communicate openly, honestly, and authentically are more often heard, more credible, and considered more trustworthy. Waterrijk should utilize diverse communication channels to engage with consumers and build trust, including its website, medial social platforms, and newsletters.
Promote Local and Sustainable Values: Waterrijk can also capitalize on the growing style of sustainable agriculture and support local businesses to attract new customers. It should focus on supporting practices that make sense, being socially responsible, and helping maintain the environment through minimizing waste, reusing, and recycling. This can resonate with consumers prioritizing supporting local farmers and environmental consumers.
Influencer marketing entails a form of marketing enabling businesses to collaborate with people with a following for increased brand exposure. Waterrijk can approach some influencers with larger following to post or publish the company content on social media hence promoting products and services. It is an embraced method by many advertisers as data from 2020 reveals that influencer marketing was at $101 billion industry, with 75% of advertisers reporting using influencers (Campbell and Farrell, 2020, p. 1). This form of marketing reaches a wider audience. Waterrijk should collaborate with local influencers, nutritionists, or food bloggers who align with the target market and farm values and ask them to develop content regarding Waterrijk dairy products and share it with their followers.
Product Diversification: it involves referring to the business methodology of establishing and presenting a new line of services or products or products division that utilizes completely different of same sets of skills, information, machinery, and other strategies to attract more consumers. Diversification presents an opportunity for Waterrijk to cater to changing customer preferences. It should develop innovative dairy products to tap into new consumer segments and differentiate itself from rivals.
PESTEL analysis and possible challenges faced by companies when introducing new products post-Covid-19
PESTEL analysis is a tool or framework utilized in analyzing and monitoring the macro-environmental factors that impact a company’s decision-making or operations. When introducing a new product post-Covid-19, organizations may be faced with diverse challenges grounded on the PESTEL components, and they include:
Political Challenges: Introducing new products post-Covid-19 may be faced regulatory hurdles and policy changes as governments may implement stricter regulations on diverse aspects such as international trade, labeling, and health and safety. For instance, in the case of Waterrijk introducing a new product, the company may be affected by strict standards and regulations imposed to facilitate the safety and quality of foods, and they may be required to seek extra certifications, labeling requirements, and inspections for their product. Complying with such requirements can be costly and time-consuming, necessitating the companies to invest more in training, infrastructure, and documentation to maintain regulatory compliance and updated standards.
Economic Challenges: the Covid-19 pandemic resulted in economic downturns globally, leading to market uncertainty and changes in consumer purchasing power (De Souza et al., 2022, p. 302).these are significant challenges for a company tending to introduce a new product in the market and must carefully assess the pricing strategy, market feasibility, and financial risks to facilitate successful product introduction in the challenging economic surrounding. For instance, if Waterrijk wants to introduce a new product, the company must ensure its products are easily accessible, well-priced, and competitive in the market, and they can offer value-added propositions and affordable options to mitigate the economic challenges and maintain customer demand irrespective of the economic challenges situations hence sustaining its market position.
Sociocultural Challenges: socio-cultural shifts due to the pandemic can impact product acceptance, and companies introducing a new product need to align with evolving consumer societal values and preferences. Sustainability, rising consciousness on Animal Welfare, health and wellness trends, digital transformation, ethical factors, and convenience become essential for product success in the post-covid-19 sociocultural landscape. For instance, Waterrijk may be required to adapt to these changes and preferences by establishing and promoting dairy products that highlight their commitment to sustainable farming practices, animal health, hygiene, and nutritional benefits. The pandemic induced changes in shopping habits altering consumer businesses: at least two-thirds of consumers claimed to have tried different kinds of shopping, and most claim they will continue doing so, and that was an implication that brands have not yet figured out how to reach consumers in new ways (Sneader and Singhal, 2021, p. 5). Navigating these challenges requires an organization to conduct thorough market research to understand the select customers, tailor product development, and implement appropriate marketing strategies to meet the evolving preferences and needs of the post-covid-19 consumer landscape.
Technological Challenges: The post covid-19 era is likely to depend on digital solutions and increases reliance on technology. The pandemic brought about sudden development and enhancement of technology and digitization to increase the use of advanced technologies in operations, improve data security, and build supply-chain redundancies (Sneader and Singhal, 2021, p. 4). Introducing new products may necessitate organizations to implement automated or advanced manufacturing processes, adopt innovative distribution channels, and leverage emerging technologies. For instance, Waterrijk may be required to invest more in automated systems or advanced machinery to improve efficiency in the production process.
Environmental Challenges: there is growing concerned regarding the environment impacting consumer behavior and strict environmental regulations imposed globally by governments to fight climate change and global warming, and organizations introducing new products facilitate environmental sustainability throughout their product lifecycle. They must assess and mitigate the environmental impact from sourcing and production to packaging and disposal. For instance, if Waterrijk wants to introduce a new product, the company need to develop an eco-friendly product and implement sustainable procedures that are critical for meeting regulatory requirement and gaining consumer trust.
Legal Challenges: some legal challenges companies will likely encounter while introducing a new product past-covid-19 include patent infringement risks, intellectual property protection, liability issues, and health and safety regulations. For instance, if Waterrijk introduces a new product, the company must ensure it complies with food safety regulations, animal welfare standards, and labeling requirements that may need extra resources.
Conclusion
Waterrijk, a dairy farm in the Netherlands, can utilize intrapreneurship, targeted marketing approaches, and crisis management to pursue healthier and environmentally friendly ambitions and maintain its market position. By empowering employees to drive change and fostering a culture of innovation, the dairy farm can adapt to stay competitive and adapt to market demands. Covid-19 posed diverse challenges to the company, such as changing consumer behavior and supply chain disruption. Through the implementation of safety measures, communication transparently, and diversifying products, Waterrijk can overcome them and regain consumer trust. To attract new and existing consumers, the company can utilize marketing strategies such as enhancing its online presence, promoting local and sustainable values, and implementing customer loyalty programs. Introducing new products post-covid-19 considering PESTEL factors, the organization can comply with regulations, leverage technology, align with consumer preferences, ensure legal compliance, and prioritize sustainability to successfully introduce new and innovative products.
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