Competitive advantage through responsible innovation in the New Zealand's sheep dairy industry

Abstract

This research utilises a dynamic capabilities framework to evaluate the opportunities and constraints for New Zealand to establish an internationally competitive sheep dairy industry. The established French sheep dairy industry is used as a reference case study in order to evaluate how the New Zealand’s sheep dairy industry differs from its rivals and how this might provide the basis for achieving a competitive advantage. The research evaluates the strategic capabilities and competitive forces of the sheep dairy industries in France and New Zealand. The results identify the distinctive capabilities of the New Zealand sheep dairy industry as being its pasture based agricultural production systems, leading innovations from its a dedicated agricultural research community, and market leading standards for sustainability, animal welfare and food safety. The New Zealand’s sheep dairy industry however lacks a number threshold capabilities such as; capital, critical mass, dairy genetics, markets, infrastructure, experience, and industry structure.