A Green-Value Chain Model for Functional Food Development and Validation

Thesis Abstract

The sustainable development imperative in food systems has intensified the need for green-value chain approaches that simultaneously enhance functional food innovation, environmental performance, and consumer trust. This study addresses the gap where traditional value chains neglect environmental externalities in functional food development, leading to suboptimal sustainability outcomes and limited market uptake. The aim is to develop and validate a Green-Value Chain Model (GVCM) that integrates sustainable sourcing, low-impact processing, green packaging, and eco-efficient distribution with rigorous product validation frameworks. Specific objectives are to (1) synthesize existing green supply chain and functional food validation theories into a coherent model, (2) identify critical levers and bottlenecks across stages of the value chain, (3) empirically test the relationships among green practices, product quality, and market acceptance, and (4) implement a pilot in a regional food cluster to validate model applicability and scalability. The methodological approach adopts a mixed-methods design anchored in actor-network theory and the resource-based view to capture stakeholder interdependencies and firm capabilities in green innovation. The population comprises 40–60 micro, small, and medium-sized enterprises (MSMEs) in the edible-nutrition, plant-based, and fortified snacks sectors within a regional food park. A stratified purposive sample of 24 firms will be selected to ensure representation across supplier, manufacturer, and retailer roles. Data collection instruments include (i) structured surveys (n=120 functional food product lines) to quantify green practices, lifecycle impacts, and product performance; (ii) semi-structured interviews with 24–32 executives or technical leads to explore implementation challenges, validated by a thematic framework; (iii) document review of environmental audits, life cycle assessments (LCAs), and product validation reports; and (iv) sensory and nutritional analyses of representative products. Analytical techniques comprise partial least squares structural equation modeling (PLS-SEM) to test the hypothesized paths linking green sourcing, processing efficiency, green packaging, and product validation outcomes to market performance; multivariate analysis of variance (MANOVA) to compare groups by firm size; and thematic analysis of interview transcripts guided by the theory of planned behavior and the triple-bottom-line framework. Confirmatory factor analysis (CFA) will validate measurement models for constructs such as green capability, product authenticity, and consumer perceived sustainability. An embedded case study, comprised of three firms with distinct green strategies, will be used to illustrate model dynamics and scalability. Model validation will incorporate sensitivity analyses and cross-validation with 10-fold data partitions. Key findings are expected to reveal that green sourcing and energy-efficient processing predict improved product validation metrics (e.g., nutrition accuracy, texture stability, allergen control) and stronger market acceptance, with green packaging positively moderating consumer trust and willingness to pay. The study anticipates that the GVCM will identify a threshold level of green investment necessary to realize tangible gains in product validation outcomes and that firm-level absorptive capacity moderates the efficacy of green initiatives. Potentially, the results will show differential impacts across sectors (plant-based vs. fortified snacks) and firm sizes, highlighting the importance of collaborative governance and standardized validation protocols. The study contributes to knowledge by integrating green supply chain theory, functional food validation science, and sustainable value creation into a unified theoretical model, offering a practical framework for firms to design, implement, and validate sustainable functional foods. It advances methodological rigor by combining quantitative modeling with qualitative validation in a real-world cluster, and it extends policy-relevant understanding of how green innovations translate into market performance. Recommendations include the adoption of standardized LCAs for product categories, development of sector-specific green certification schemes, investment in collaborative validation infrastructure (e.g., shared pilot facilities and sensory panels), and the establishment of a regional governance body to align suppliers, manufacturers, and retailers around green-value chain targets. The main conclusion is that a coherent Green-Value Chain Model significantly enhances the environmental, technical, and market performance of functional foods when supported by adequate absorptive capacity, stakeholder collaboration, and standardized validation practices.