From Raw Materials to Valuable Products: Dynamics of Agricultural Product Value Addition in Nanmalt Community Enterprise Context DOI:

Abstract

This study aims to analyze the success factors in agricultural product value addition of the Nanmalt Community Enterprise, Klang Wiang Subdistrict, Wiang Sa District, Nan Province. Employing a qualitative case study methodology, data were collected through focus group discussions and interviews from 15 key informants comprising community enterprise members, government officials, and experts. The conceptual frameworks of value addition, cultural capital, and competitive advantage were integrated in the analysis. Findings reveal that Nanmalt's success in transforming locally grown wheat into malt products stems from the integration of five key factors: (1) product development and innovation emphasizing chemical-free quality production, along with new products addressing specific market needs such as Diastatic Malt Powder and liquid Malt Extract; (2) management with visionary leadership, an annual cost-averaging system, and an open knowledge management culture; (3) cultural capital reflected through the preservation of local wisdom combined with modern technology and the creation of place-based identity; (4) marketing strategies and customer relationship building, including the transition from business-to-consumer (B2C) to business-to-business (B2B) markets; and (5) network building and collaboration with other community enterprises, government agencies, and customers as long-term partners. The study demonstrates that organizational adaptability, the conversion of cultural capital into economic value, and the adoption of a differentiation strategy over price competition are critical enablers of sustainable competitiveness for small community enterprises. These findings may contribute to the development of policies supporting community enterprises and grassroots economic development in the country.