City adjustments as the main factor of success of urban and peri-urban farms–empirical evidence from the Ruhr metropolis

Abstract Economic viability of urban and peri-urban agriculture (UPA) is the key requirement for additional social, environmental, and landscape functions within urban and peri-urban areas. However the rapid progress of urbanization drives the loss of farmlands to industrial, residential and other urban uses, and the decline of farms and population working in agriculture. Hence, the literature highlights the need to popularize new ideas and strategies of preserving and developing farms in urbanized areas.The main aim of this research is both to identify and assess determinants of success of farms located in urban and peri-urban areas. The key question that has arisen is: how do different adjustment strategies, locations and farm resources affect the success of farms? For this purpose a web survey was conducted among 199 professional urban and peri-urban farms in the Ruhr Metropolis (Germany). It is an old-industrialized polycentric urban agglomeration where agriculture has a comparably high level of significance in current land use. Analyses were conducted taking a resource-based view and using the classification tree method. The data indicate that farms which use various adjustment strategies are more successful. Elements of successful strategies, are include tourism services (mainly horse-riding) and direct marketing. Results further indicate that the effectiveness of those strategies (farm success) is mainly dependent upon a farms locations. Distance from the customer seem to be of utmost importance, because by minimizing transport costs, customers choose entities that have the most convenient location for them. By assessing farm success from a long-term perspective, it was noted that positive prospects of development apply mainly to full-time farmers who use appropriate adjustment strategies. In contrast, farms, which do not use any elements of strategies relating to customers from urban areas, seem to achieve success chiefly from having a relatively large surface area of farmland.