Value Creation and Value Capture Through Internet Business Models

2013 ◽  
pp. 83-108 ◽  
Author(s):  
Francesco D. Sandulli ◽  
Antonio Rodríguez-Duarte ◽  
Daría C. Sánchez-Fernández
Keyword(s):  
Value Creation ◽  
Business Models ◽  
Value Capture ◽  
Internet Business

Value creation mechanisms of business models

2018 ◽  
Vol 19 (3) ◽  
pp. 166-176 ◽  
Author(s):  
Vladyslav Biloshapka ◽  
Oleksiy Osiyevskyy
Keyword(s):  
Business Model ◽  
Value Creation ◽  
Business Models ◽  
Business Value ◽  
Value Proposition ◽  
Value Appropriation ◽  
Value Capture ◽  
Fine Grained ◽  
Case Vignettes ◽  
Current Article

Management scholars and practitioners generally agree that the primary functions of a business model are value creation and value capture. However, the meaning (conceptualization) of these terms, their measurement, and the factors and mechanisms affecting them remain contentious. In the current article, we provide answers to these questions by clarifying the consumers’ value creation and business value capture constructs. Then, we demonstrate how they are determined by four business model mechanisms: value proposition and value targeting (affecting consumers’ value through willingness to pay) and value appropriation and value delivery (affecting business value through price and cost). We demonstrate that a fine-grained analysis of a business model’s value creation cannot be adequately performed without reference to these four mechanisms. The developed conceptual framework is illustrated and corroborated by the mini-case vignettes. We finish by outlining an application of the proposed framework to two crucial real-world business model situations: escaping the Giver Trap and remaining the Winner.

Fostering Innovation and Value Creation Through Ecosystems

2020 ◽  
pp. 25-44
Author(s):  
Mario Spremić ◽  
Lucija Ivancic ◽  
Vesna Bosilj Vukšić
Keyword(s):  
Value Creation ◽  
Business Models ◽  
Manufacturing Sector ◽  
Theoretical Background ◽  
Digital Transformation ◽  
Value Capture ◽  
Ecosystem Research ◽  
Digital Platforms ◽  
Digital Service ◽  
Business Environments

Ecosystems are gaining ever-increasing importance in digital business environments. New digital business models implemented using digital platforms heavily rely on ecosystem network. Thus, it is worthwhile investigating what role ecosystems play in the process of the digital transformation of companies. This chapter provides a theoretical background of the ecosystem research concerning digital trends, such as digital transformation, digital platforms, and digital service innovation. To deeper understand how ecosystem postulates are applied in companies, case study findings from two companies operating in the service and manufacturing sector are presented. Moreover, the ecosystem role is observed in selected companies both in the process of innovation generation (value creation), as well as in the implemented digital business model (value capture).

scholarly journals Digital business models in cultural tourism

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Salvatore Ammirato ◽  
Alberto Michele Felicetti ◽  
Roberto Linzalone ◽  
Daniela Carlucci
Keyword(s):  
Value Creation ◽  
Business Models ◽  
Mobile Apps ◽  
Cultural Tourism ◽  
Mobile App ◽  
Digital Products ◽  
Value Capture ◽  
Content Type ◽  
Classification Framework ◽  
New Business

PurposeDigitalization had a relevant impact on the cultural tourism sector, both demand and supply. If, on the one hand, advances in digital technologies provided tourists with new mobile services able to amplify the cultural experience, on the other hand, they catalyzed the development of new business models by digital enterprises. This paper has a twofold purpose: to detect business models and key characteristics of mobile apps for cultural tourism and to analyze the offering of app-based services in this sector.Design/methodology/approachThe authors defined a methodology to identify, characterize and analyze a particular category of digital products for cultural tourism: app-based services. They are studied in terms of value creation, proposition and capture with the aim to identify the distinctive features of business models. As a result, the authors identified a classification framework on three main dimensions, namely “how to exploit mobile app features to create value for cultural tourists” (value creation), “which valuable services are delivered to cultural tourists” (value proposition) and “how companies are rewarded for the value they offered” (value capture). The authors apply the framework to perform a situation analysis of app-based services in the cultural tourism market.FindingsThe analysis highlights that digital enterprises offering app-based services do not fully exploit advances in technologies about users' value requirements. Hence, the results of our work suggest some directions that digital enterprises may follow to better exploit mobile app technology.Originality/valueTo date, little research has been devoted to investigating cultural tourism business models involving the exploitation of mobile app-based services. This research provides a useful framework to analyze fundamental aspects of business models in this sector. Such a framework represents a practical tool that provides fruitful insights for the design of a new generation of app-based services within the so-called “Internet of things” domain.

scholarly journals Value configurations in sharing economy business models

2021 ◽  
Author(s):  
Andreas Reuschl ◽  
Victor Tiberius ◽  
Matthias Filser ◽  
Yixin Qiu
Keyword(s):  
Qualitative Study ◽  
Value Creation ◽  
Business Models ◽  
Sharing Economy ◽  
Two Dimensions ◽  
Two Dimensional ◽  
Value Capture ◽  
Traditional Markets ◽  
Strategic Options ◽  
Design Value

AbstractThe sharing economy gains momentum and develops a major economic impact on traditional markets and firms. However, only rudimentary theoretical and empirical insights exist on how sharing networks, i.e., focal firms, shared goods providers and customers, create and capture value in their sharing-based business models. We conduct a qualitative study to find key differences in sharing-based business models that are decisive for their value configurations. Our results show that (1) customization versus standardization of shared goods and (2) the centralization versus particularization of property rights over the shared goods are two important dimensions to distinguish value configurations. A second, quantitative study confirms the visibility and relevance of these dimensions to customers. We discuss strategic options for focal firms to design value configurations regarding the two dimensions to optimize value creation and value capture in sharing networks. Firms can use this two-dimensional search grid to explore untapped opportunities in the sharing economy.

scholarly journals Business Models’ Innovations to Overcome Hybridity-Related Tensions in Sustainable Entrepreneurship

2020 ◽  
Vol 12 (11) ◽  
pp. 4503
Author(s):  
Daniele Eckert Matzembacher ◽  
Mervi Raudsaar ◽  
Marcia Dutra de Barcellos ◽  
Tõnis Mets
Keyword(s):  
Value Creation ◽  
Business Strategy ◽  
Financial Stability ◽  
Business Models ◽  
Secondary Data ◽  
Value Proposition ◽  
Discussion Forums ◽  
Sustainable Entrepreneurship ◽  
Value Capture ◽  
Social Environmental

This paper aims to investigate how sustainable entrepreneurs innovate in business models to overcome their hybridity-related tensions to achieve environmental, social, and financial goals. A case study was conducted on 12 organizations in seven countries from October 2018 to June 2019 through observation visits, interviews, and secondary data collection. To analyze the data, a content analysis was applied with the help of NVivo Software. The analysis category is based on the definition of the pillars of business models: (1) Value proposition, (2) value creation/delivery, and (3) value capture. Concerning value proposition, organizations engage various stakeholders on developing emotions related to sustainable behaviors. They use the idea of community to promote it, fostering the sharing of intangible values. Associated with these actions, organizations offer more convenience accessing these products or services, home deliveries, facilitating access by geo-location, price reduction, and promoting consumers’ education. Regarding value creation/delivery, companies promote partnerships with other stakeholders as part of the main business strategy. They run the business while promoting a social movement. One is dependent on the other. In their engagement in sustainability discussion forums and practical activities, they put together consumers, suppliers, and also other agents outside their vertical supply chain. Operations of all companies are highly internet-based. Social media and transparency are also relevant to their operations. The main characteristic of value capture is that organizations integrate sustainability into their strategy in a way that, just by doing business, they fulfill their social, environmental, and economic missions. Therefore, through innovation in business models, these organizations overcome hybridity-related tensions and achieve financial stability while positively impacting society. The contribution to the literature was achieved by identifying business model innovations in sustainable entrepreneurship, analyzing their characteristics and mechanisms to overcome hybridity-related tensions, and providing empirical evidence about how business models can create and capture different and multiple forms of value.

scholarly journals The impact of digital logistics start-ups on incumbent firms: a business model perspective

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jasmin Mikl ◽  
David M. Herold ◽  
Marek Ćwiklicki ◽  
Sebastian Kummer
Keyword(s):  
Business Model ◽  
Value Creation ◽  
Business Models ◽  
Primary Data ◽  
Value Proposition ◽  
Value Capture ◽  
Content Type ◽  
Main Factors ◽  
Start Ups ◽  
The Impact

PurposeDigital freight forwarder (DFF) start-ups and their associated business models have gained increasing attention within both academia and industry. However, there is a lack of empirical research investigating the differences between DFFs and traditional freight forwarders (TFF) and the impact of digital start-ups on incumbents' companies. In response, this study aims to examine the key business model characteristics that determine DFFs and TFFs and propose a framework illustrating the extent to which digital logistics start-ups influence incumbent logistics companies.Design/methodology/approachBased on the primary data gathered from eight interviews with experts from start-ups' and incumbents' logistics companies, as well as secondary data, the authors identify the main factors of DFFs start-ups that have an impact on TFFs and analyze the similarities and differences in regard to the business model components' value proposition, value creation, value delivery and value capture.FindingsThe results show that differences between DFFs and TFFs appear in all four business models' components: value proposition, value creation, value delivery and value capture. In particular, the authors identify three main factors that need to be considered when assessing the impact of DFFs on TFFs: (1) the company size, (2) the market cultivation strategy and (3) the transport mode.Originality/valueThis is one of the first studies to specifically examine the key business model differences between DFFs and TFFs and to propose a conceptual framework for understanding the impact of digital logistics start-ups on incumbent companies.

Value creation and value capture alignment in the shift to open business models

2019 ◽  
Vol 2019 (1) ◽  
pp. 11432
Author(s):  
David Sjödin ◽  
Vinit Parida ◽  
Marin Jovanovic ◽  
Ivanka Visnjic
Keyword(s):  
Value Creation ◽  
Business Models ◽  
Value Capture ◽  
Open Business Models

Aligning Multilateral Value Creation and Value Capture in Ecosystem-level Business Models

2019 ◽  
Vol 2019 (1) ◽  
pp. 18966
Author(s):  
Ville Eloranta ◽  
Esko Hakanen ◽  
Pekka Töytäri ◽  
Taija Tuulia Turunen
Keyword(s):  
Value Creation ◽  
Business Models ◽  
Value Capture ◽  
Ecosystem Level
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