Track: Business Management

Abstract

The agricultural sector in Zambia has been described as the backbone of the economy. It contributes to the
country’s GDP, national exports and employs most of the population. The agricultural sector in Zambia is
dominated by small and medium scale farmers who are mostly located in the rural areas. Due to the importance
role played by the small and medium scale farmers in Zambia, it is necessary to conduct a competitive analysis
to assess their competitive environment. Michael Porters five forces model was used in the analysis. In assessing
the competitive environment of the agricultural sector, this analysis focuses on small and medium scale farming
with reference to the crop sub sector and focusing on the major crop -maize. The analysis was informed by
Secondary data sources from peer reviewed journal articles and professional reports about the agricultural sector
in Zambia. Thematic analysis was used to analyze the data in line with Michael Porter’s five forces framework.
The findings indicate that the threat of new entrants to small and medium scale farming is relatively high due to
lack of barriers of entry and supportive government programs for the farmers, the barging power of buyers is
relatively high because buyers are often fewer and buy in large volumes which makes them more powerful than
the small and medium scale farmers. The bargaining power of suppliers is also high as the small and medium-
scale farmers are mostly dependent on subsidies due to the financial constraints that they face.

Key words
Small and Medium Scale Farming, Competitive Analysis, Michael Porter Five Forces, Agriculture Sector and
Zambia.