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1 – 10 of over 1000Jerome L. Antonio, Alexander Lennart Schmidt, Dominik K. Kanbach and Natanya Meyer
Entrepreneurial ventures aspiring to disrupt existing market incumbents often use business-model innovation to increase the attractiveness of their offerings. A value proposition…
Abstract
Purpose
Entrepreneurial ventures aspiring to disrupt existing market incumbents often use business-model innovation to increase the attractiveness of their offerings. A value proposition is the central element of a business model, and is critical for this purpose. However, how entrepreneurial ventures modify their value propositions to increase the attractiveness of their comparatively inferior offerings is not well understood. The purpose of this paper is to analyze the value proposition innovation (VPI) of aspiring disruptors.
Design/methodology/approach
The authors used a flexible pattern matching approach to ground the inductive findings in extant theory. The authors conducted 21 semi-structured interviews with managers from startups in the global electric vehicle industry.
Findings
The authors developed a framework, showing two factors, determinants and tactics, that play a key role in VPI connected by a continuous feedback loop. Directed by the determinants of cognitive antecedents, development drivers and realization capabilities, aspiring disruptors determine the scope, focus and priorities of various configuration and support tactics to enable and secure the success of their value proposition.
Originality/value
The authors contribute to theory by showing how cognitive antecedents, development drivers and capabilities determine VPI tactics to disrupt existing market incumbents, furthering the understanding of configuration tactics. The results have important implications for disruptive innovation theory, and entrepreneurship research and practice, as they offer an explanatory framework to analyze strategies of aspiring disruptors who increase the attractiveness of sustainable technologies, thereby accelerating their diffusion.
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Rong Zhu, Yaoyao Fu, Ao Wen and Jiaxin Zhao
This study aims to examine an emerging product–place co-branding marketing practice in China’s rural areas. The role of this practice in inclusive development is analyzed from the…
Abstract
Purpose
This study aims to examine an emerging product–place co-branding marketing practice in China’s rural areas. The role of this practice in inclusive development is analyzed from the perspectives of value proposition innovation, market legitimacy, media coverage and brand value. Both research and practice indicate value proposition innovation to exert an important influence on brand value enhancement, but little is known about the mediating and moderating mechanisms underlying this relation.
Design/methodology/approach
A moderated mediation model is constructed to examine whether market legitimacy mediates the relationship between value proposition innovation and brand value. vWhether this mediating process is moderated by media coverage is also examined. The primary data are collected from semi-structured interviews and observations conducted with two common cases to develop proper scales for value proposition innovation and market legitimacy. The research includes 100 product–place co-brandings published by the Ministry of Agriculture and Rural Affairs in 2019. Hypotheses are tested using hierarchical regression and a Bootstrap model.
Findings
Value proposition innovation has a positive effect on brand value, and market legitimacy partially mediates this relationship. Media coverage positively moderates the relationship between value proposition innovation and market legitimacy, and positively moderates the mediating effect of market legitimacy; the higher the media coverage, the stronger the mediating effect of market legitimacy.
Research limitations/implications
Based on data availability and accessibility, the study sample focused on indicators from 100 brands in 2019. If the Ministry of Agriculture and Rural Affairs discloses consecutive annual information for other years, future studies could explore panel data to further test the study’s conclusions from a longitudinal perspective.
Originality/value
First, this paper adds to the emerging literature on product–place co-branding business models by examining the relationship between value proposition innovation and brand value. Second, this paper enriches institutional theory by including market legitimacy as a mediator between value proposition innovation and brand value. Third, this paper identifies the moderating role of media coverage, thus broadening the theoretical implications of institutional theory with respect to improving market legitimacy.
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Robin Roslender, Susan Hart and Christian Nielsen
This paper aims to identify and discuss insights from the business model field on the creation and delivery of value to customers that provide new thinking in relation to the…
Abstract
Purpose
This paper aims to identify and discuss insights from the business model field on the creation and delivery of value to customers that provide new thinking in relation to the strategic management accounting field.
Design/methodology/approach
The customer emphases exhibited in parts of the extant strategic management accounting literature are highlighted and amplified using insights from the business model literature, including those relating to value propositions, customer value creation and delivery and meeting customers’ value expectations.
Findings
The paper demonstrates that in addition to providing valuable insights for accounting to management, an extended strategic management accounting concept enables accounting and reporting to customers, now identified as major stakeholders, in the context of integrated reporting.
Practical implications
Through its customer resonances, the paper affirms strategic management accounting’s practical utility for organisations seeking a strong position in highly competitive marketplaces, via the addition of a focus on accounting to customers.
Originality/value
The paper’s use of insights from the business model literature further reinforces the view that strategic management accounting potentially constitutes a pivotal development within both managerial and financial accounting and reporting.
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Jihai Jiang, Rui Liu and Fengquan Wang
This paper aims to investigate how value drivers of internet medical business model affect value creation through a configurational approach. The internet medical business model…
Abstract
Purpose
This paper aims to investigate how value drivers of internet medical business model affect value creation through a configurational approach. The internet medical business model (IMBM) is such a business model that integrates online and offline medical services with the driving force of internet technologies covering prediagnosis, in-diagnosis and postdiagnosis. The outbreak of COVID-19 and the support of national policies have boosted the development of internet health care. However, there are still many challenges in practice, such as the unclear innovation path, as well as difficulties in landing and profiting. Academic research has not yet provided sufficient theoretical insights. Therefore, to better explain and guide practice, it is urgent to clarify the innovation path and mechanism of value creation for IMBM.
Design/methodology/approach
Based on the sample of 58 internet medical firms in China, this paper adopts fuzzy-set qualitative comparative analysis (fsQCA) to explore the configurational effects of IMBM’s value drivers on value creation.
Findings
Building on the business model canvas and the characteristics of internet health care, five value drivers of IMBM are identified, namely, functional value proposition, emotional value proposition, user involvement, resource capabilities and connection properties. And the five value drivers form three configurations, which are, respectively, labeled as resource-driven configuration, user-operated configuration and product-combined configuration. From the perspective of the integration of traditional and emerging theories, such as resource-based view, internet economics and value cocreation, each configuration leads to value creation and improves value results with different mechanisms behind it.
Originality/value
First, combined with the business model canvas and the characteristics of internet health care, this paper identifies five value drivers of IMBM, thus improving the relevant research on internet health care. Second, based on the configurational effects, this paper discusses the mechanism behind the configurational effects of IMBM’s value drivers on value creation, thus expanding relevant research on the value creation of business models. Third, applying fsQCA and combining the advantages of qualitative research and quantitative research, this paper adds to the configurations of IMBM’s value drivers that achieve high-value results.
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Mariana Guadalupe Vázquez-Pacho and Marielle A. Payaud
This article examines the strategic actions of multinational corporations (MNCs) in creating social value at the base of the pyramid (BoP), providing insights into novel business…
Abstract
Purpose
This article examines the strategic actions of multinational corporations (MNCs) in creating social value at the base of the pyramid (BoP), providing insights into novel business models (BMs) and tactics employed for poverty alleviation.
Design/methodology/approach
This conceptual article links three relevant pieces of literature – creating shared value (CSV), the three-value creation logic and the three core values of social development – to analyze the current research and real-world examples of MNCs implementing the BoP BMs.
Findings
The article identifies four strategies and 11 tactics used by MNCs to adapt BMs elements (value proposition, value constellation and value capture) and generate social value at the different levels (coverture of basic needs, self-esteem and freedom from servitude) by following the distinct value creation logics (chain, shop and network).
Originality/value
This article provides a conceptual framework that links relevant literature and sheds light on the strategic actions that MNCs apply in their BMs to tackle the multidimensionality of poverty in the BoP markets.
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Mehreen Malik, Muhammad Mustafa Raziq, Naukhez Sarwar and Madiha Gohar
We explore the skills required for digital leadership for reshaping existing business models toward digital models. Digital leadership is pivotal in gaining a competitive…
Abstract
Purpose
We explore the skills required for digital leadership for reshaping existing business models toward digital models. Digital leadership is pivotal in gaining a competitive advantage and achieving successful digital transformation. However, little is known with regard to the underlying mechanisms related to digital leadership and transformation.
Design/methodology/approach
Data are collected through semi-structured interviews involving 20 participants from five Pakistani textile companies. Thematic analysis was employed as a data analysis tool.
Findings
Findings show that certain skills such as technological know-how, innovativeness, adaptability, ability to lead and steer, honesty, integrity, transformative vision, communication and collaboration are conducive to successful digital transformation in textile manufacturing firms. Similarly, digital leaders can significantly enhance business model innovation, create value for the firm, help develop new products (value proposition) and create Ecosystem partnerships (value network).
Originality/value
This article bridges gaps between existing literature on digital transformation and leadership. Digital leadership skills for digital transformation and the role of digital leaders in business model innovation have not been explored before. The conceptual framework is put forth, propositions are proposed and the findings offer some future research directions.
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Dr Dongmei Zha, Pantea Foroudi and Reza Marvi
This paper aims to introduce the experience-dominant (Ex-D) logic model, which synthesizes the creation, perceptions and outcomes of Ex-D logic. It is designed to offer valuable…
Abstract
Purpose
This paper aims to introduce the experience-dominant (Ex-D) logic model, which synthesizes the creation, perceptions and outcomes of Ex-D logic. It is designed to offer valuable insights for strategic managerial applications and future research directions.
Design/methodology/approach
Employing a qualitative approach by using eight selected product launch events from reviewed 100 event videos and 55 in-depth interviews with industrial managers to develop an Ex-D logic model, and data were coded and analysed via NVivo.
Findings
Results show that the firm’s Ex-D logic is operationalized as the mentalizing of the three types of customer needs (service competence, hedonic excitations and meaning making), the materializing of three types of customer experiences and customer journeys (service experience, hedonic experience and brand experience) and the moderating of three types of customer values (service values, hedonic values and brand values).
Research limitations/implications
This study has implications for adding new insights into existing theory on dominant logic and customer experience management and also offers actionable recommendations for managerial applications.
Originality/value
This study sheds light on the importance of Ex-D logic from a strategic point of view and provides an organic view of the firm. It distinguishes firm perspective from customer perspective, firm experience from customer experience and firm journey from consumer journey.
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Business model innovation (BMI) has been posited as essential for both new and existing digital business, as they commonly operate in competitive and fast-moving markets with…
Abstract
Purpose
Business model innovation (BMI) has been posited as essential for both new and existing digital business, as they commonly operate in competitive and fast-moving markets with limited entry barriers. However, it is highlighted within the literature that the understanding of how BMI contributes to business success and how new digital ventures develop competitive advantage is still unclear. This study aims to address this lacuna by exploring how young Chinese digital businesses develop and innovate their business models to survive in fast-moving and competitive markets.
Design/methodology/approach
This research adopted a multiple case study design, with qualitative data being collected from the founders of five Chinese digital businesses, to develop an understanding of the evolution of their business models and BMI from their inception.
Findings
The findings add support for the contention that BMI can play an important role and is beneficial in the success of such new digital ventures in highly competitive environments. The founders attribute their success to a willingness for continued BMI, an openness to new opportunities, developing customer relationships and continuous iteration.
Originality/value
This research addresses calls to further the authors’ understanding of how BMI contributes to business success and how new digital ventures develop competitive advantage by exploring the BMI of five highly successful digital businesses from their inception.
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Chelsea Phillips, Marc Becker, Gaby Odekerken-Schröder and Dominik Mahr
Service robots present a new frontier in the provision of services, with far-reaching implications for customers and managers alike. The purpose of this chapter is to examine how…
Abstract
Service robots present a new frontier in the provision of services, with far-reaching implications for customers and managers alike. The purpose of this chapter is to examine how service robots impact service providers' current marketing strategies. For this, the authors perform an integrative, nonsystematic review of international gray and academic literature to understand how both practitioners and academics perceive the impacts of the technology. Based on this analysis, the present work identifies three key themes that emerge from the current state of practitioner and academic research, namely (1) service robots demand new core business capabilities and competencies, (2) service robots offer new value propositions, and (3) service robots impact not only service providers' cost structures but also revenue streams. These insights are combined into the Service Robot Innovation Canvas, a visual tool for service providers to identify the impact of service robot implementations on a company's marketing strategy. In addition, based on the analyzed literature, the most pressing questions for researchers are laid out in a research agenda.
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Michael Rachinger and Julian M. Müller
Business Model Innovation is increasingly created by an ecosystem of related companies. This paper aims to investigate the transition of a manufacturing ecosystem toward electric…
Abstract
Purpose
Business Model Innovation is increasingly created by an ecosystem of related companies. This paper aims to investigate the transition of a manufacturing ecosystem toward electric vehicles from a business model perspective.
Design/methodology/approach
The authors investigate an automotive manufacturing ecosystem that is in transition toward electric and electrified vehicles, conducting semi-structured interviews with 46 informants from 27 ecosystem members.
Findings
The results reveal that the actions of several ecosystem members are driven by regulations relating to emissions. Novel requirements regarding components and complementary offers necessitate the entry of actors from other industries and the formation of new ecosystem members. While the newly emerged ecosystem has roots in an established ecosystem, it relies on new value offers. Further, the findings highlight the importance of ecosystem governance, while the necessary degree of change in the members' business models depends on their roles and positions in the ecosystem. Therefore, upstream suppliers of components must perform business model adaptation, whereas downstream providers must perform more complex business model innovation.
Originality/value
The paper is among the first to investigate an entire manufacturing ecosystem and analyze its transition toward electric vehicles and the implications for business model innovation.
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