What is industry analysis? It is “a tool that facilitates a company’s understanding of its position relative to other companies that produce similar products or services.”1 It is extremely important when we start with strategic planning of our business and we want to enter the market. Firstly, we have noticed that the organic food market has grown by approximately 200% in the past decade. Although organic products have higher price, the growth in the market appeared “due to rising health concerns among consumers, awareness of health benefits of organic food, increasing income levels, improved standard of living, and government initiatives aimed at encouraging widespread adoption of organic products.” There are 170 countries that report organic farming activities. Supermarkets and specialists are the main distribution channels in Europe and North America.
1.1 What is eco-food?
Firstly, we should understand that eco, bio and organic refer to products that arise exactly in the same quality system. All of them are created on the basis of organic farming and raw materials in controlled, certified plants and processing plants. Such products must be certified and labeled with the specific logo of organic food; In the EU the logo is so-called “EKOLI??”.2
According to the rules of the European Union regulation, organic food is “produced at least 95% ecologically, without the use of artificial fertilizers and chemical plant protection products, while maintaining soil fertility, biodiversity and respect for the environment.”3
Eco-food can be characterized by the certain features:
· “no chemical plant protection agents and fertilizers are used for production, crop rotation is used to ensure fertility of the soil”4,
· “animals in organic farms are provided with healthy conditions and are fed with organic feed or with an addition of approved mixture of conventional feeds”5,
· “processed organic food does not contain artificial colours, flavours, flavour improvers, preservatives, and is not genetically modified (without GMOs)”6.