Mountain grasslands are the basis of a site-specifc, locally based livestock production in a large part of the grassland area of the temperate zone. This chapter frst outlines the site factors characterising mountain grasslands and the societal factors connected to them (Fig. 1). It then addresses the specifcities of mountain grassland production in terms of yield and forage quality and links them to grassland-based animal production. Finally, it discusses relevant trade-offs between productive and environmental aspects with a focus on wildlife interaction and the expression of ecosystem services. Throughout this chapter, the mountain chain of the Alps, stretching from East to West from France to Slovenia and crossing eight countries, as well as the Scandinavian Mountains, running through the Scandinavian Peninsula, will serve as a primary case study. However, several issues addressed in this context are shared with other mountain areas characterised by comparable climatic and topographic conditions, e.g. other mountain chains in Europe like the Apennines or the Dinarides in Southern Europe, the Carpathians in Central Europe or the Pyrenees in Western Europe, as well as with other extra-European mountain chains.