Social Ties Development as Competitive Strategies in Vegetables Marketing: Evidence from Small-Scale Farmers in Benin

Social relationships are widely recognized in the achievement of competitive advantages and performance in small-scale farms, particularly in Sub-Saharan Africa. But two questions remain poorly elucidated. What are the specific practices leading to the development of social relationship among small-scale farmers? And what form of social relationship is privileged according to the business context? This paper contributes to this debate by adopting an inductive approach based on an in-depth case study. Empirical data are collected through individual and group interviews with small-scale farmers of Indigenous Leafy Vegetables (ILV) in Benin. Findings support that, in order to improve their competitive advantage and better commercialize their products, small-scale farmers invest in activities that lead to the loyalty or diversification of social ties. When the farmers operate in a low-demand environment, competitive advantage is provided by the loyalty of social ties. When they operate in high-demand environment, they diversify social ties. The implications of these results are that whereas customers’ loyalty provides a competitive advantage to farmers in the area where local demand is weak, investment in social network diversification provides a competitive advantage to farmers where strong local demand is evident.