The global food sector is a highly interdependent and competitive sector that strives for food security, food affordability and sustainability. In South Africa, Fresh Produce Markets (FPMs) are faced with increasing competition in the form of direct contracting by retailers in response to consumer demand for better quality. These FPMs lack the ability to compete with retailers. Over the past two decades there has been an increased pace of corporatization of State‐Owned Enterprises (SOE). The main focus of this research is to determine, by using the method of paired comparisons, whether corporatization into a Municipal Entity is indeed the best solution to allow for faster adaptability and improved performance.