Sysco, the largest foodservice marketer and distributor in the US, is responding to institutional demand for local food through "Buy Local, Sell Fresh" programs at some of its operating companies. In Grand Rapids, Michigan, Sysco purchases fresh produce from regional growers and suppliers, and distributes it to restaurants and institutions in the state. Corporate efforts to market local food are relatively new, and the implications for growers and other suppliers are largely unstudied. Sysco's program, in particular, is structured as a value chain, a model in which supply chain actors are strategic partners who share a common goal, work collaboratively, display trust, and value transparency to achieve shared rewards. Using a value chain analysis this thesis explores a practicing value chain involving Michigan fruit and vegetable growers, suppliers, and others participating in Sysco's Buy Local, Sell Fresh program in Grand Rapids. The thesis offers insights about benefits and challenges faced when using a value chain model to "scale up" local food distribution using the infrastructure of a large national foodservice distribution company. Ultimately, this case study determines that economic and social benefits are unevenly shared across the supply chain because Sysco treats some supply chain actors as partners and others as arms-length suppliers. This is partially due to the way the supply chain is structured, and the realities of the fresh produce industry where mid-size and larger growers are often represented by intermediaries. The study suggests that "scaling up" local food through a large company involves trade-offs in relationships with growers and suppliers.
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