Harvesting Value! Exploring How Climate‐Smart Agriculture Practices Change Farm Business Models in Europe

ABSTRACT Climate‐smart agriculture (CSA) is essential for sustainable farming. However, the adaptation of farm business models (BM) for widespread CSA implementation in Europe remains underexplored. This article investigates how CSA practices change or innovate farm BMs. Applying a multiple case study design based on 30 semistructured interviews with farmers across five European countries, we implement a BM value framework and BM change typologies to uncover the underlying management mechanisms. Findings reveal that CSA practices trigger incremental BM changes rather than radical BM innovations, improving operational efficiency and environmental benefits. Although value creation and delivery are enhanced, value capture faces unresolved challenges. Effective BM changes require improved value propositions and better capture mechanisms. The study contributes to the CSA literature by providing empirical evidence on the pathways of BM change, clarifies the BM change and BM innovation distinction, and broadens the scope from technological improvements to business strategies needed for sustainable farming practices.