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Book part
Publication date: 31 August 2016

Douglas P. Hannah, Robert P. Bremner and Kathleen M. Eisenhardt

This paper addresses resource redeployment in ecosystems. Prior research examines the value of resource redeployment across product markets in multi-business firms. In contrast…

Abstract

This paper addresses resource redeployment in ecosystems. Prior research examines the value of resource redeployment across product markets in multi-business firms. In contrast, resource redeployment across ecosystems is an important corporate strategy employed by both single- and multi-business ecosystem firms that has received little attention. To address this gap, we present a case study of resource redeployment by an entrepreneurial firm in the US residential solar industry. We propose that the value creation mechanisms (i.e., improving capabilities, bottleneck relief) are fundamentally different when resources are redeployed in ecosystems. We identify “consumption-side” interdependence of components and “production-side” resource relatedness as playing critical roles in both types of value creation and propose conditions under which resource redeployment is most valuable. Overall, we contribute insights into the literatures on resource redeployment and strategy in business ecosystems.

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Resource Redeployment and Corporate Strategy
Type: Book
ISBN: 978-1-78635-508-9

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Book part
Publication date: 26 August 2014

Joel West and David Wood

Two key factors in the success of general-purpose computing platforms are the creation of a technical standards architecture and managing an ecosystem of third-party suppliers of…

Abstract

Two key factors in the success of general-purpose computing platforms are the creation of a technical standards architecture and managing an ecosystem of third-party suppliers of complementary products. Here, we examine Symbian Ltd., a startup firm that developed a strong technical architecture and broad range of third-party complements with its Symbian OS for smartphones. Symbian was shipped in nearly 450 million mobile phones from 2000 to 2010, making it the most popular smartphone platform during that period. However, its technical and market control of the platform were limited by its customers, particularly Nokia. From 2007 onward, Symbian lost market share and developer loyalty to the new iPhone and Android platforms, leading to the extinction of the company and eventually its platform. Together, this suggests lessons for the evolution of a complex ecosystem, and the impact of asymmetric dependencies and divided leadership upon ecosystem success.

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Collaboration and Competition in Business Ecosystems
Type: Book
ISBN: 978-1-78190-826-6

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Book part
Publication date: 16 September 2022

Irina I. Saenko, Nadezhda K. Savelyeva, Elena A. Lysova and Victoria N. Ostrovskaya

This chapter’s purpose is to check (prove or disprove) the argument in favour of technological discrimination of consumers of goods in the conditions of digital development, given…

Abstract

This chapter’s purpose is to check (prove or disprove) the argument in favour of technological discrimination of consumers of goods in the conditions of digital development, given the essence of sales conflict, its manifestations and perspectives of overcoming.

The literature review of the existing sources shows that they have an insufficient scientific basis for determining the essence of sales conflict, its manifestations, and perspectives of overcoming in the conditions of digital development and in view of technological discrimination of consumers of goods. To fill this gap in the system of scientific knowledge, the authors use the methods of comparative and correlation analysis of statistical data. The research objects are the top 10 countries from the G20, Latin America, the Caribbean, China, and the United States, which have the highest level of development of online trade and digitalization.

The authors perform an overview of the facts that determine that, from a scientific point of view, there are arguments in favour of technological discrimination of consumers of goods in the conditions of digital development from the position of the emergence of sales conflicts between companies and consumers of online goods. Modern economies are developing along the path of further increase in the technological gap between them, which could be caused by two reasons: differentiation in the level of socio-economic development of separate countries and their different susceptibility to the achievements of the digital economy and digital technologies. Countries with high innovative potential, but without effective innovative systems, undergo ‘digital transformation’. Countries with low innovative potential, but active borrowing and implementation of innovative technologies from abroad, undergo ‘digital adaptations’.

It is proved that the COVID-19 pandemic led to the change of consumer behaviour models, seriously influencing the structure of consumption. While the traditional retail trade is in stagnation, the sales volumes in the system of online commerce continue growing. Together with the development of online commerce, new types of conflicts emerge – they are caused by inequality in the level of technological and digital development of various countries of the world, as well as by discrimination of consumers.

Book part
Publication date: 27 November 2018

Yuliya Snihur, Llewellyn D. W. Thomas and Robert A. Burgelman

Despite increasing interest in business model innovation (BMI), there is only limited scholarship that examines how business model (BM) innovators present and explain their…

Abstract

Despite increasing interest in business model innovation (BMI), there is only limited scholarship that examines how business model (BM) innovators present and explain their innovations to various stakeholders. As BMI often involves the creation of a new ecosystem, understanding how innovators can gain support of future ecosystem members is important. Based on a longitudinal case study of Salesforce, a pioneer in cloud computing, the authors show how the innovator’s skillful framing to different audiences fosters the emergence of an ecosystem around the new BM. The authors suggest that effective framing constitutes an important strategic process that enables BM innovators to shape new ecosystems due to the performative power of words.

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Cognition and Innovation
Type: Book
ISBN: 978-1-78769-432-3

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Book part
Publication date: 26 August 2014

Julia Fan Li and Elizabeth Garnsey

Healthcare innovations for bottom-of-pyramid populations face considerable risks and few economic incentives. Can entrepreneurial innovators provide new solutions for global…

Abstract

Healthcare innovations for bottom-of-pyramid populations face considerable risks and few economic incentives. Can entrepreneurial innovators provide new solutions for global health? This chapter examines how a technology enterprise built a collaborative network and supportive ecosystem making it possible to steer an innovation for TB patients through discovery, development, and delivery. Ecosystem resources were mobilized and upstream and downstream co-innovation risks were mitigated to commercialize a new diagnostic test. Detailed evidence on this innovation for TB care uses ecosystem analysis to clarify core issues in the context of joint value creation. The case study shows how resources from private and public partners can be leveraged and combined by the focal firm to build joint value and to lower execution, co-innovation, and adoption risks in healthcare ecosystems combating diseases of poverty.

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Collaboration and Competition in Business Ecosystems
Type: Book
ISBN: 978-1-78190-826-6

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Book part
Publication date: 21 August 2012

Michael A. Cusumano

Purpose – This chapter discusses the difference between a product strategy and a platform strategy, relying on examples from the history of Apple and Microsoft in personal…

Abstract

Purpose – This chapter discusses the difference between a product strategy and a platform strategy, relying on examples from the history of Apple and Microsoft in personal computers and other devices as well as Sony and Japan Victor Corporation in videocassette recorders.

Design/methodology/approach – The chapter begins with a review of how the term “platform” has been used in the management literature and defines an industry-wide platform (as compared to an in-house company product platform) as a foundation technology (or service) that brings multiple parties in a market together for a common purpose. An industry-wide platform can generate powerful network effects between the platform and complementary products and services that make the platform increasingly valuable. Apple, with the Macintosh computer, and Sony with the Betamax VCR as well as other products, such as the Walkman media player, are examples of firms that developed excellent products but followed a product-first strategy and ended up losing in these markets or becoming niche players. They paid relatively little attention to opening up their technology to outside firms and cultivating an ecosystem of partners. Apple changed in the early 2000s with the iPod and iTunes, and then the iPhone and iPad, and has risen from near bankruptcy to become an enormously valuable and profitable platform leader.

Findings – Historical examples suggest that, in a platform market, the winner is not the firm with the best product, but rather the firm with the best platform – that is, the foundation technology or service that is most open to outsiders and which stimulates development of the most compelling complements.

Originality/value – This result extends the literature's understanding of platform strategy.

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History and Strategy
Type: Book
ISBN: 978-1-78190-024-6

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Book part
Publication date: 25 June 2012

Andrea Ordanini and A. Parasuraman

Purpose – The paper develops a conceptual framework for assessing value-creating service ecosystems that contains four core dimensions: medium, meaning, usage, and network. Its…

Abstract

Purpose – The paper develops a conceptual framework for assessing value-creating service ecosystems that contains four core dimensions: medium, meaning, usage, and network. Its purpose is to identify and discuss the implications of the changes that occur in these dimensions when exchanges within the ecosystem that have long been mediated by physical products become direct instead.

Methodology/approach – The analysis employs the historical method and is based on a systematic investigation of the evolution of the recorded-music market during the past 150 years.

Findings – The analysis shows that the key dimensions of the recorded-music-service ecosystem evolved only gradually and incrementally during the era of physical formats that were dominant until the mid-1990s. With the advent of “liquid” music, the elements of the service ecosystem changed dramatically, leading to instability and redefining roles and exchange mechanisms in the ecosystem.

Research limitations/implications – The investigation focuses on a single ecosystem (music), and conclusions stemming from it are subject to the assumptions inherent in the historical method. Nevertheless, the paper contributes to knowledge in the Service-Dominant Logic (S-D logic) domain by offering a robust framework and a set of core dimensions that are useful for systematically analyzing the nature and consequences of changes that occur in rapidly evolving service ecosystems.

Practical implications – Apart from direct implications for the music market, the proposed framework can help managers working in other ecosystems to adopt a macro perspective in addressing value-creation issues and to pay particular attention to the underlying dynamics that influence value creation in those ecosystems.

Originality/value of paper – The development of a conceptual framework that adopts a macro-level, market-wide perspective for understanding value creation in service ecosystems is a distinct contribution of the paper, as is the application of the historical method in analyzing such an ecosystem.

Details

Special Issue – Toward a Better Understanding of the Role of Value in Markets and Marketing
Type: Book
ISBN: 978-1-78052-913-4

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Book part
Publication date: 27 September 2019

Antonio Rios-Ramirez

This chapter describes the basic elements of an ecosystem of innovation entrepreneurship ecosystem. Likewise, it discusses the building of ecosystems, technological parks, and…

Abstract

This chapter describes the basic elements of an ecosystem of innovation entrepreneurship ecosystem. Likewise, it discusses the building of ecosystems, technological parks, and their relationship with the industrial clusters. Finally, it analyzes the impact of the ecosystems on the regional environment. Additionally, the chapter will include mini cases and business examples.

Details

Innovation and Entrepreneurship: A New Mindset for Emerging Markets
Type: Book
ISBN: 978-1-78973-701-1

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Content available
Book part
Publication date: 30 July 2018

Abstract

Details

Marketing Management in Turkey
Type: Book
ISBN: 978-1-78714-558-0

Abstract

Details

Future Governments
Type: Book
ISBN: 978-1-78756-359-9

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