Farmcrowdy: digital business model innovation for farming in Nigeria

2019 ◽  
Vol 9 (2) ◽  
pp. 1-22
Author(s):  
Kwaku Atuahene-Gima ◽  
Joshua Amuzu
Keyword(s):  
Climate Change ◽  
Business Model ◽  
Return On Investment ◽  
Business Models ◽  
Business Model Innovation ◽  
Background Information ◽  
African Countries ◽  
Business World ◽  
Content Type ◽  
The Impact

Learning outcomes The Farmcrowdy case pursues the following aims: familiarizing students with the concept of business models for agricultural businesses and explaining the key decisions and activities within a business model; recognizing different opportunities for business model innovation by farmers and stakeholders in the agricultural sector; identifying concepts and tools from the business world that can be used in farming and other agribusiness-related ventures; highlighting opportunities for agribusiness firms to engage in business model innovation; and developing a business model canvas that highlights key components of a business model. Case overview/synopsis Agriculture stands as the leading driver of economies in most African countries. Most people depend on this sector directly or indirectly for their livelihoods on a daily basis. However, due to challenges like climate change and its variability, high initial startups capital, poor pricing, pest attacks, among other factors, people are gradually opting out of this sector. This has implications for employment, food and human security issues for farmers, their families and the society at large. Individual farmers that opt to remain in this sector are often met with challenges accessing technology in adapting to the challenges aforementioned. This decreases their resilience to the impact of climate change and its variability, pest and disease attack, securing loans to expand farming operations, among others. This raises the risks associated with investment in this sector as one cannot be assured of a fixed return on investment at the end of each crop cycle. Investors who opted to manage this risk associated with investment in the agriculture sector had challenges getting an official database of farmers to invest in as well as knowing whether individual farmers are experienced enough and committed to fixed agreements. It is against this backdrop that Onyeka Akumah founded Farmcrowdy in Nigeria with the aim of empowering farmers and connecting investors to right farmers with an assured return on investment at the end of every crop growing or animal-rearing season using online technological packages. The Farmcrowdy business model allowed Nigerians to venture into farming and other agricultural ventures at the touch of a button while empowering local farmers and boosting food production, creating employment for all stakeholders in the agricultural value chain. With ensuing challenges and competitors in the agro-technological industry, Farmcrowdy aims at extending their business model to other West African countries like Ghana. A few suggestions are made to help improve Farmcrowdy business model. First, they can add novel activities to the business model. Second, they can change one or more parties that perform business model activities. Finally, they can link business model activities in new ways like the development of model farms as a training ground for new farmers and the development of a go-back-to nature campaign to end-users of the products from farms. This case can be used by different audiences. The case can be used for teaching students at the graduate level, especially in the development of executive courses on innovation and entrepreneurship, strategy, agricultural technology and innovation. A wealth of supporting materials is available to the Professor, including videos and background information. Complexity academic level PhD, Doctor of Business Administration, Executive MBA Supplementary materials Teaching Notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 3: Entrepreneurship

scholarly journals Business model transformation toward sustainability: the impact of legitimation

2020 ◽  
Vol 58 (8) ◽  
pp. 1643-1662
Author(s):  
Roberto Biloslavo ◽  
Carlo Bagnoli ◽  
Maurizio Massaro ◽  
Antonietta Cosentino
Keyword(s):  
Business Model ◽  
Business Models ◽  
Single Case ◽  
Business Model Innovation ◽  
Innovation Theory ◽  
Sustainable Business ◽  
Case Study Methodology ◽  
Content Type ◽  
Sustainable Business Models ◽  
The Impact

PurposeThis study aims to identify the legitimacy issues raised during a sustainable business model innovation, deployed by an Italian company, which was analyzed through the lens of the legitimation theory and the business model innovation theory.Design/methodology/approachA single case study methodology is employed for empirical research. Semistructured interviews, with top and middle management, were conducted together with the analysis of several internal and external documents, to corroborate the case analysis.FindingsResults show how the potentiality of digital technologies allows the development of new sustainable business models, which, though, still need to gain legitimation to be accepted. The study findings allow drawing both on the business model innovation theory and on the legitimation theory, as they show how legitimation is a dynamic concept that involves internal as well as external stakeholders to support business model innovation.Originality/valueThe paper is novel, since it addresses the topic of sustainable business models development, showing how companies can get legitimation. The paper builds on existing theories and provides a practical example.

IBM's global CEO report 2006: business model innovation matters

2006 ◽  
Vol 34 (5) ◽  
pp. 34-40 ◽  
Author(s):  
George Pohle ◽  
Marc Chapman
Keyword(s):  
Financial Performance ◽  
Business Model ◽  
Business Models ◽  
Business Model Innovation ◽  
Content Type ◽  
Revenue Growth ◽  
Business Executives ◽  
Operating Margin ◽  
Operational Innovation ◽  
Study Participants

PurposeTo ascertain whether the choices CEOs were making about particular types of innovation and key enablers had any correlation with financial performance, IBM looked at a subset of our sample where publicly reported financial information was available.Design/methodology/approachThe findings in this report are based on in‐depth, consultative interviews on the topic of innovation with 765 CEOs, business executives and public sector leaders from around the world.FindingsFor a subset, the authors compared their financial performance to that of an industry‐accepted list of their nearest competitors (up to ten companies with similar revenue and publicly available information). Some of their competitors were CEO study participants, but most were not. By taking a five‐year view, the researchers were able to identify which companies outperformed and under‐performed the average revenue growth, operating margin growth and historical operating margins of their closest competitors.Research limitations/implicationsThroughout the analysis, IBM used these top‐half and bottom‐half groupings to look for notable financial correlations. In this report, the term outperformers refers to the study participants that are in the top 50 percent based on this competitive comparison, and under‐performers are those that fall in the bottom 50 percent.Practical implicationsThe authors report on how business leaders are seeking and finding new ways to adapt their business models to remain competitive in their current industry – or to seek growth by entering new industries.Originality/valueCompanies focusing on business model innovation have enjoyed significant operating margin growth, while those using products/services/markets and operational innovation have sustained their margins over time.

An Exploratory Study of the Impact of the Internet of Things (IoT) on Business Model Innovation

2017 ◽  
pp. 423-440
Author(s):  
In Lee
Keyword(s):  
Business Model ◽  
Significant Relationship ◽  
Business Models ◽  
Implementation Strategies ◽  
Fortune 500 ◽  
Business Model Innovation ◽  
Adoption Rate ◽  
Iot Applications ◽  
Fortune 500 Companies ◽  
The Impact

This paper introduces IoT categories used to build smart enterprises and discusses how Fortune 500 companies may use various IoT applications to innovate their business models. The authors' analysis reveals that there is a significant relationship between the type of IoT applications and the IoT adoption rate and there is also a significant relationship between the type of business model innovation and the IoT adoption rate. Finally, five implementation strategies for smart enterprise development are discussed.

An Exploratory Study of the Impact of the Internet of Things (IoT) on Business Model Innovation

2016 ◽  
Vol 7 (3) ◽  
pp. 1-15 ◽  
Author(s):  
In Lee
Keyword(s):  
Business Model ◽  
Significant Relationship ◽  
Business Models ◽  
Implementation Strategies ◽  
Business Model Innovation ◽  
Adoption Rate ◽  
Iot Applications ◽  
Fortune 500 Companies ◽  
The Impact ◽  
The Internet Of Things

This paper introduces IoT categories used to build smart enterprises and discusses how Fortune 500 companies may use various IoT applications to innovate their business models. The authors' analysis reveals that there is a significant relationship between the type of IoT applications and the IoT adoption rate and there is also a significant relationship between the type of business model innovation and the IoT adoption rate. Finally, five implementation strategies for smart enterprise development are discussed.

scholarly journals Driving internationalization through business model innovation

2019 ◽  
Vol 28 (2) ◽  
pp. 201-220 ◽  
Author(s):  
Angelo Cavallo ◽  
Antonio Ghezzi ◽  
Bertha Viviana Ruales Guzmán
Keyword(s):  
Business Model ◽  
Design Methodology ◽  
Business Models ◽  
International Entrepreneurship ◽  
Single Case ◽  
Business Model Innovation ◽  
Content Type ◽  
A Company ◽  
North Western

Purpose This paper aims to investigate how a firm may innovate its business model to internationalize. Design/methodology/approach Owing to its novelty and to the depth of the investigation required to grasp the mechanisms and logics of business model innovation aiming at internationalization, a single case study has been performed related to a company located in North-Western Colombia. Findings The study provides detailed empirical evidences over the mutual connection and complementarities among value mechanisms of business models. Moreover, this study suggests that BMI fosters internationalization to scale, which, in turn, will require additional changes to match new customer needs as they emerge. Also, the study shows an extension of the action–space of lean startup approaches, intended as scientific approaches to international entrepreneurship. Originality/value This study connects business model innovation and internationalization as few studies have done before.

Business models for the now economy

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Art T. Weinstein
Keyword(s):  
Online Learning ◽  
Business Model ◽  
Customer Value ◽  
Business Models ◽  
Content Type ◽  
Digital Business Models ◽  
Business Practitioners ◽  
The Impact ◽  
Remote Learning

Purpose Business models are a key to success. This paper aims to identify the characteristics of the Now Economy, discuss the components of an effective business model, examine numerous e-commerce business models and provide an application of online learning. Design/methodology/approach The literature on business models is reviewed. E-commerce models are explored as a means for building competitive advantage in the Now Economy. An in-depth case study of remote learning in universities illustrates the development of a sound digital business model. Findings Business models explain where and how an organization competes and the financial feasibility of its strategy. Digital business models create market differentiation or disruption. This paper explains 20 e-commerce business models and offers an in-depth view of the opportunities and challenges in the online learning sector. Research limitations/implications Building on the literature, this work is conceptual and presents a case study. It is not an empirical study. A three-point agenda for scholars includes research on speed and service in business models, assessing the impact of customer value and examining the market power of Big Tech. Practical implications The digital component of the economy is growing annually. Business practitioners must respond by developing winning business models. The remote learning application is particularly relevant given today’s changing educational market. Originality/value While there has been considerable research on business models, there has been limited work on digital business models, which is the focus of this article.

Knowledge-driven business model innovation through the introduction of equity investment: evidence from China’s primary market

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jiali Zheng ◽  
Han Qiao ◽  
Xiumei Zhu ◽  
Shouyang Wang
Keyword(s):  
Business Model ◽  
Business Models ◽  
Learning Algorithm ◽  
Empirical Studies ◽  
Back Propagation ◽  
Back Propagation Neural Network ◽  
Business Model Innovation ◽  
Data Set ◽  
Equity Investment ◽  
Content Type

Purpose This study aims to explore the role of equity investment in knowledge-driven business model innovation (BMI) in context of open modes according to the evidence from China’s primary market. Design/methodology/approach Based on the database of China’s private market and data set of news clouds, the statistic approach is applied to explore and explain whether equity investment promotes knowledge-driven BMI. Machine learning method is also used to prove and predict the performance of such open innovation. Findings The results of logistic regression show that explanatory variables are significant, providing evidence that knowledge management (KM) promotes BMI through equity investment. By further using back propagation neural network, the classification learning algorithm estimates the possibility of BMI, which can be regarded as a score to quantify the performance of knowledge-driven BMI Research limitations/implications The quality of secondhand big data is not very ideal, and future empirical studies should use first-hand survey data. Practical implications This study provides new insights into the link between KM and BMI by highlighting the important roles of external investments in open modes. Social implications From the perspective of investment, the findings of this study suggest the importance for stakeholders to share knowledge and strategies for entrepreneurs to manage innovation. Originality/value The concepts and indicators related to business models are difficult to quantify currently, while this study provides feasible and practical methods to estimate knowledge-driven BMI with secondhand data from the primary market. The mechanism of knowledge and innovation bridged by the experience from investors is introduced and analyzed.

Business model innovation

2015 ◽  
Vol 9 (3) ◽  
pp. 200-218 ◽  
Author(s):  
Jaqueline Pels ◽  
Tomás Andrés Kidd
Keyword(s):  
Business Model ◽  
Business Models ◽  
Single Case ◽  
Business Model Innovation ◽  
Three Dimensions ◽  
Bottom Of The Pyramid ◽  
Bottom Up ◽  
Content Type ◽  
The Social ◽  
Medical Healthcare

Purpose – The purpose of this paper is to develop a framework that expands business model innovation literature by including a social goal, the emerging markets (EMs) environmental characteristics and adopting a bottom-up perspective. Design/methodology/approach – This paper draws on a single-case study. Sistema Ser/CEGIN (SER–CEGIN) is an Argentine social business that offers high-quality medical healthcare to BOP users. Findings – The paper presents a new conceptualization on business model innovation that includes three dimensions: firm-centric, environment and customer-centric. The framework incorporates to the traditional framework on business model innovation, the social profit equation, the general and task environment and the end-user, as well as the dynamics between them. Research limitations/implications – While the authors acknowledge the importance of studying the components of the business model operating levels (economic, operational and strategic) to determine the type of business model innovation (revenue, enterprise and industrial), the framework incoporates the environment and customer-centric dimension. The suggested framework opens new streams of research both for the innovation business model literature as well as for the EMs – bottom of the pyramid (BOP) literature. Practical implications – To achieve economic and social goals, particularly in the BOP, firms need to adopt a bottom-up approach to understand the components of their business model that need to be modified. Originality/value – The paper proposes a novel business model innovation conceptualization which is useful for both researches to better study business models in the BOP and for firms to successfully operate in the BOP.

Risk-managing the business model: locating tripwires at the start

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Michael Braun ◽  
Benedetto Cannatelli ◽  
Mario Molteni
Keyword(s):  
Business Model ◽  
Business Models ◽  
Academic Research ◽  
Business Model Innovation ◽  
Growth Opportunities ◽  
Organizational Decline ◽  
Content Type ◽  
Corporate Turnaround ◽  
Future Challenges ◽  
Potential Risks

Purpose This paper aims to address risks inherent in business model innovation. The authors make the case that entrepreneurs and managers, in relying on sources of innovation when designing business models, need to pay heed to these hidden risks – or tripwires – that can prevent the venture from efficiently, effectively and profitably scaling. The authors provide a guiding framework to help entrepreneurs and managers identify four distinct tripwires in their business model underlying the sources of innovation. Design/methodology/approach The authors build a systematic framework of the four tripwires – structure, scaling, systems and strategy – underlying offer-driven, customer-driven, finance-driven and resource-driven business model innovations. By relying on academic research, the authors’ scholarly work on organizational decline, innovation and corporate turnaround and the authors combined experiences and observations in industry, this study makes explicit and highlights problem areas in the business model, providing examples of representative companies to illustrate the challenges and consequences of failing to identify and manage its tripwires. Findings The authors demonstrate that awareness and attention to the tripwires underlying sources of innovation can mitigate a business model’s future challenges. Business model innovations can and often do conceal hazards that become apparent only as a venture begins to grow. As such, it is essential that entrepreneurs and managers attend to these potential problem areas in the early stages of designing their business models. In bringing awareness to innovation-related tripwires, the authors offer a risk-management “patch” for managers and entrepreneurs when developing their business models. Originality/value Business model innovation is a powerful tool to help in identifying growth opportunities. Yet in launching, scaling or transforming their business models, entrepreneurs and managers can encounter unforeseen challenges. While sources of innovation in the business model prioritize the discovery of growth opportunities, this has often come at the expense of the potential risks underlying them. The authors provide a means to identify four distinct tripwires that may be triggered when implementing business model innovations.

Examining the effects of governmental networking with environmental turbulence on the geographic searching of business model innovation generations

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Haixu Bao ◽  
Chunhsien Wang ◽  
Ronggen Tao
Keyword(s):  
Business Model ◽  
Large Scale ◽  
Business Models ◽  
Emerging Market ◽  
Business Model Innovation ◽  
Environmental Turbulence ◽  
High Tech ◽  
Content Type ◽  
External Resources ◽  
The Relationship

Purpose This study aims to explore the relationship between geographic search and business model innovation and proposed a contingent framework to focus on how governmental networking and environment turbulence are interdependent moderate the relationship between geographic search and business model innovation. Design/methodology/approach A large-scale questionnaire survey was carried out among the firms in three high-tech parks of the Pearl River Delta, with a total of 287 firms as empirical samples. Hypotheses are tested using ordinary least squares analyzes on hierarchical multiple regression to find out how geographic search can drive business model innovation generations. Findings The empirical results showed that the more frequent geographic search is, the more favorable it is for firms to generate innovative business models, and firms may be more effective in geographic searching and business model innovation with better governmental networking. However, the above relationship may be weakened if the environment turbulence in emerging markets is further considered. It was argued that firms must take into account both the positive effects of governmental networking and the negative effects of environmental turbulence in conducting a geographic search for external knowledge resources to generate innovative business models. The study results showed how and why governmental networking can be a key catalyst for firms to generate innovative business models. Research limitations/implications This study contributes to the business model innovation literature by documenting the large-scale survey evidence that confirms the practicality of geographic search in the business model innovation generations. The findings advance previous studies in the business model innovation by identifying the moderating roles of governmental network and environment turbulence that predict business model innovation behaviors in the emerging market. Practical implications The results indicate that the geographic search can be easily operationalized for external resources acquisitions by managers in generating business model innovation. This has applications for external resource acquisitions on the basis of business model innovation in the emerging China market. In addition, to facilitate the business model innovation generations, the focus should be on critical contingency factors; on the one hand, to promote the continued use of external resources, the focus should be on enhancing benefits such as governmental networking. Originality/value The findings extend existing theory in three ways as the original value. First, the results show that geographic search is an important driver of business model innovation generations in an emerging market context. Second, this study is the first to take organizational learning and open innovation perspective to examine geographic search as a boundary-spanning search of external resources in business model innovation generations. Third, this study also explores the moderator role of governmental network and environmental turbulence on how to strengthen or impair the geographic search and business model innovation generations.

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