The present paper presents a novel generalization of business model innovation as an activity taking place across a development and an extension zone, where business model innovation occurs as minor, medium and major changes within both zones. The model explains the process of creating new activity networks by exploring within the extension zone and exploiting within the development zone. While exploration and exploitation take place within both zones, the predominant logic is one of exploitation within the de-velopment zone and exploration within the extension zone, if the two zones are consid-ered as a coherent system. The generalization is explicated in terms of different domi-nant market logics in which collaborative efforts can be positioned. Underlying this presentation, the paper argues that business model innovation involves uncertainty to the degree that innovation is based on cooperative efforts, and that there exists a dialec-tical relationship between sources of selection and sources of survival, which tend to re-inforce one another. This constitutes a new aspect of business model innovation.
|Number of pages
|Published - 2015
|DRUID15 Conference Rome on the Relevance of Innovation - LUISS Business School, Rome, Italy
Duration: 15 Jun 2015 → 17 Jun 2015
|DRUID15 Conference Rome on the Relevance of Innovation
|LUISS Business School
|15/06/2015 → 17/06/2015
Bibliographical noteWant a new perspective on business model innovation?
The paper presents a configuration of business modelling. This leads to a novel generalization of business model innovation. The paper also explains the process of creating new activity networks.
It is concluded that business model innovation involves uncertainty to the degree that innovation is based on cooperative efforts. It is also concluded that there exists a dialectical relationship between sources of selection and sources of survival. These tend to reinforce one another.
- Business model innovation
- Triple Helix
- Dominant logic
- New perspective