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Why business model innovations fail

Stephan Friedrich von den Eichen (Managing Partner of IMP, Munich, Germany)
Joerg Freiling (Head of the LEMEX Chair of Small Business & Entrepreneurship, Faculty of Business Studies & Economics, University of Bremen, Germany)
Kurt Matzler (University of Innsbruck)

Journal of Business Strategy

ISSN: 0275-6668

Article publication date: 16 November 2015




This paper aims to discuss the barriers to successful business model innovation and derive implications for management on how to overcome each barrier, as many attempts to innovate a business model have failed.


The authors draw on their experience they gained in numerous business model innovation projects and identify barriers that occur along a cycle of business model innovation, the authors use case examples to describe the barriers and derive managerial implications.


Barriers to successful business model innovation are related to barriers of awareness, search, system, logic and culture. Very often, these barriers are not recognized as such. Overcoming those barriers has to do with openness, with opening, with networking, with affirmation (and mastering) of complexity and thinking and acting in a whole.


With this paper, the authors contribute to a better understanding of why many business model innovations fail, they identify and describe barriers to business model innovation and develop some recommendations for managers on how to overcome the barriers.



Friedrich von den Eichen, S., Freiling, J. and Matzler, K. (2015), "Why business model innovations fail", Journal of Business Strategy, Vol. 36 No. 6, pp. 29-38.



Emerald Group Publishing Limited

Copyright © 2015, Emerald Group Publishing Limited

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