Emerging market global business model innovation

2016 ◽  
Vol 18 (1) ◽  
pp. 53-62 ◽  
Author(s):  
Adesegun Oyedele
Keyword(s):  
Business Model ◽  
Business Models ◽  
Emerging Market ◽  
Building Blocks ◽  
Clear Understanding ◽  
Model Framework ◽  
Global Business ◽  
Market Conditions ◽  
Content Type ◽  
Governmental Institutions

Purpose Developing a global business model requires a clear understanding of the market conditions in the global marketplace. The aim of this study was to evaluate the effect of emerging market conditions on the key building blocks of Osterwalder’s business model canvas. Design/methodology/approach The paper explains the basic framework of Osterwalder’s business model and evaluation of relevant dimensions of emerging market characteristics and the effect of these dimensions on creating global business models in emerging markets. Findings Global business models in emerging market must evaluate and account for important market conditions, such as the power of non-governmental institutions, the effect of clientelism and prevalence of informal institutional flux. Practical implications When developing a global business model, researchers and managers should understand market conditions will not only shape the cost structure and revenue stream but also make a company to change its value proposition entirely. Originality/value The main value of this paper is recognizing and assessing the effects of emerging market conditions on Osterwalder’s business model framework.

Building blocks for the development of an IoT business model

2019 ◽  
Vol 13 (1) ◽  
pp. 15-32
Author(s):  
Tatiana Domingues Almeida ◽  
Marianne Costa Avalone ◽  
Diego Castro Fettermann
Keyword(s):  
Literature Review ◽  
Business Model ◽  
Business Models ◽  
Building Blocks ◽  
Extensive Literature ◽  
Model Framework ◽  
Cluster Technique ◽  
Content Type ◽  
Business Model Canvas ◽  
Business Goals

Purpose Previous studies have identified a variety of Internet of Things (IoT) business models and have recognised the complexity related to the application of IoT technologies in business, along with the potential of the modularity concept application in organisational design. The purpose of this paper is to identify the main building blocks for the development of a business model canvas for companies that adopt the IoT in their business. Design/methodology/approach First, the authors carried a systematic literature review to identify theoretical, experimental and practical IoT business model canvas recorded in the literature. Then, the authors identified and analysed the characteristics of the building blocks present in these canvas using a statistical cluster technique. Based on the outcomes, the authors proposed a framework with standard and optional modules to allow flexible arrangements and suit different IoT business goals. Findings The results revealed that the IoT business model canvas recorded in the literature had been grossly designed to attend two drivers: manufacture and service organisations. Therefore, based on the frequency of building blocks present in IoT business model canvas recorded in the literature, it has been proposed two flexible frameworks which can be tailored to accommodate the immense variety of possibilities offered by IoT technologies in manufacture and service business. Practical implications The business model frameworks proposed in this research can support entrepreneurs structuring new IoT businesses or upgrading existing businesses. Originality/value This research offers a comprehensive IoT business model framework with their respective building blocks built from an extensive literature review.

scholarly journals A framework for business model with strategic innovation in ICT firms

2018 ◽  
Vol 31 (1) ◽  
pp. 16-41 ◽  
Author(s):  
Nezameddin Faghih ◽  
Banafsheh Dastourian ◽  
Seyyed Mojtaba Sajadi ◽  
Andres Henten ◽  
Pantea Foroudi
Keyword(s):  
Business Model ◽  
Business Models ◽  
Emerging Market ◽  
Business Environment ◽  
Business Model Innovation ◽  
Model Concept ◽  
Model Framework ◽  
Content Type ◽  
Strategic Innovation ◽  
Ict Industry

Purpose The purpose of this study is to help gain an accurate and distinct understanding of information-based business concepts and critical steps in designing an appropriate business model, by providing a framework for designing an innovative information-based business to help fledgling businesses development in the information and communication technology (ICT) industry of Iran. What is a business model framework with the strategic innovation approach in the small and medium enterprises (SMEs) of ICT industry? What are the components of this model and the relations between them? Business model is a logical response to how a business can create value. Changing business environment means that business models are rapidly growing; accordingly, innovation is no longer optional. However, innovation is important in general, but the kind of innovation that is widely and directly dependent on business model will be quite critical for all parts of the organization. In fact, business model innovation is an exquisite technic to create, deliver and earn value by changing one or more components of a typical business model. Business model innovation needs information and form business environment based on dynamic information system. Design/methodology/approach The present paper focuses upon SMEs in ICT. Grounded theory has been used for this purpose, with 15 interviews conducted. Findings An emerging market is one in which commercial exchanges of a particular industry between the countries are relatively new but possess great investment attractiveness and a high potential to grow (such as Iran).As the ICT industry of Iran is a leading industry, and the country itself is an emerging market, the main purpose of this study is to provide a framework for designing an innovative information-based business to help fledgling businesses development in the ICT industry of Iran. Originality/value The purpose of this paper is to help accurate and distinct understanding of the business model concept and critical steps in designing an appropriate business model. Studies conducted to simultaneously deal with the business model and strategic innovations are few, and by the time the proposal was written, there was no research observed from Persian sources.

Developing a generic retail business model – a qualitative comparative study

2019 ◽  
Vol 47 (10) ◽  
pp. 1029-1056 ◽  
Author(s):  
Yvonne Haas
Keyword(s):  
Literature Review ◽  
Business Model ◽  
Systematic Literature Review ◽  
Business Models ◽  
Explanatory Power ◽  
Retail Industry ◽  
Model Framework ◽  
Content Type ◽  
Retail Business ◽  
Core Elements

Purpose Global trends like digitalization and verticalization increase the complexity within the retail industry and decrease the explanatory power of prevailing retail concepts. This paper responds to the call for new ways of understanding retailers’ business activities. The purpose of this paper is to structure and stimulate the emerging conceptual debate about retail business models (RBM) by developing a literature-based and empirically-substantiated generic retail business model framework (generic RBM). Design/methodology/approach The research is based on a systematic literature review and a qualitative study with 16 expert interviews in the German retail industry. Findings The paper identifies six core elements and respective sub-elements of a generic RBM. Contrasting the literature with empirical data, it confirms some common elements (e.g. “value proposition”) but invalidates others (e.g. “organization” or “governance”). The empirical findings add retail specifics like “horizontal integration,” “vertical integration” and “partners and networks” as core elements of a generic RBM. Originality/value The paper is the first to develop a generic RBM based on a systematic literature review and an empirical study across retailers. The resulting generic RBM can be used as a retail concept for systemizing and typifying the appearances of retailers in retailing theory. It can also be used for building, analyzing and comparing RBMs in retailing practice. The paper further provides a guideline for generic business model design with a hybrid approach based on literature and qualitative data.

Last mile farm inputs: farm shop delivers

2016 ◽  
Vol 9 (3) ◽  
pp. 1-22
Author(s):  
Monica C. Diochon ◽  
Yogesh Ghore
Keyword(s):  
Business Model ◽  
Social Marketing ◽  
Social Entrepreneurship ◽  
Social Enterprise ◽  
Business Models ◽  
Emerging Market ◽  
Sub Saharan Africa ◽  
Theory Of Change ◽  
Content Type ◽  
Farm Inputs

Subject area The subject areas are social entrepreneurship and marketing in social enterprises. Study level/applicability This study is applicable to undergraduate or MBA-level courses; possibly executive programs as well. Case overview Farm Shop was established in 2012 as a not-for-profit trust, with an aim of developing a distribution platform for poor, rural communities across sub-Saharan Africa so that smallholder farmers could get the farm inputs and services needed to increase their productivity and income. Attempting to reach scale, this social enterprise is in the process of building a micro-franchise network. Unlike franchises in industrialized countries where the franchisor starts with a vetted and replicable turnkey business, Farm Shop was created from scratch. After prototyping the shop concept and validating the business model in Kiambu County of Kenya, Farm Shop has 10 fully operational shops and is keen to start its growth phase, aiming to have 120 shops in its network within the next 12-18 months. It is only at that point that break-even will be achieved. Recognizing the key role of marketing in Farm Shop’s growth efforts, the founders are now focused on finalizing their go-to-market (GTM) strategy. Having initiated and measured the results of a number of marketing activities over the past six months, it is now time to decide which of these activities should be incorporated into their micro-franchise system. The management team knows that to provide advice, training and quality products to farmers, they first needed to develop awareness, interest and desire for what Farm Shop has to offer, not to mention the need to gain the farmers’ trust. Fundamentally, farmers needed to be convinced that Farm Shop can help them improve their productivity and income. Expected learning outcomes The study enables to gain an overall understanding of the range of challenges and opportunities associated with establishing a micro-franchise in an emerging market context; to gain a better understanding of social marketing, including the four types of behavioral influence it attempts to achieve and the similarities and differences between social and commercial marketing; to introduce the “theory of change” concept, providing a framework for understanding how and why change will occur; to introduce the concept of business models and explore the differences between “traditional” and “social entrepreneurship” business models; to understand how a competitive advantage is created; to introduce basic marketing concepts and the GTM concept and its role and application in a business model for a new social enterprise and to understand how marketing contributes to the social enterprise’s strategic goals and sustainability, thereby gaining an understanding of how “social marketing” is differentiated from commercial marketing. 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 Internet of services-based business model: a case study in the livestock industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jacqueline Zonichenn Reis ◽  
Rodrigo Franco Goncalves ◽  
Epaminondas de Souza Lage ◽  
Irenilza de Alencar Nääs
Keyword(s):  
Business Model ◽  
Design Methodology ◽  
Business Models ◽  
Scientific Literature ◽  
Single Case ◽  
Model Framework ◽  
Content Type ◽  
Internet Of Services ◽  
Present Case Study

Purpose Considering the relevance of innovative business models in the digitally transformed market and the lack of clarity on the internet of services (IoS) contribution for a business model deployment in current literature, this study aims to fill this gap by evaluating a business model that converges to an IoS adoption in a direct sale of free-range eggs from farmers to consumers. Design/methodology/approach From the bibliographical research regarding the IoS and business model, the authors developed an IoS-based model framework. The framework has been evaluated in a real business scenario by using a single case study through an interview with the entrepreneur and documental analysis. Findings As the main result, a framework with the attributes can be considered a tool for an IoS-based business model deployment. The case study concluded that the business is aligned with the IoS adoption, and the framework presents adherence to it. Research limitations/implications The case study was limited to only one company owing to the IoS’s novelty and the lack of correlated business models. Although the case study limits to the agriculture field, the proposed framework may be broadly applied. Originality/value Considering that the lack of a comprehensive business model causes new businesses to face challenges, it is relevant bringing up the present case study of the IoS-based business model, which correlates these two subjects, still poorly explored in the scientific literature: IoS and business models.

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.

scholarly journals Service innovation in product-centric firms: a multidimensional business model perspective

2014 ◽  
Vol 29 (2) ◽  
pp. 96-111 ◽  
Author(s):  
Daniel Kindström ◽  
Christian Kowalkowski
Keyword(s):  
Business Model ◽  
Empirical Data ◽  
Business Models ◽  
Service Innovation ◽  
Model Framework ◽  
Content Type ◽  
Resources And Capabilities ◽  
Practical Implications ◽  
Collection Methods ◽  
Model Approach

Purpose – This article aims to investigate the nature and characteristics of business model elements required for successful service innovation. The authors examine which unique resources and capabilities product-centric firms should develop and deploy to pursue service innovation. Design/methodology/approach – Data collected from several research projects support iterations across empirical data and theory, in an abductive process. Empirical data come from product-centric firms; interviews and focus groups were the main data collection methods. Findings – Specific resources and capabilities are needed for the proposed business model elements, as defined by the overarching strategy and structure. Firms can approach the process of service innovation from different starting points and sequences, depending on the context. Research limitations/implications – Because it takes a synthesizing approach, this research lacks some detail. By taking a business model approach with a holistic perspective, it forgoes detailed descriptions to provide greater breadth. Practical implications – Managers can use business models as tools to visualize changes, which should increase internal transparency, understanding, and awareness of service opportunities and necessary changes. Dependencies exist among elements; a change in one element likely affects the others. This study provides insights into which efforts are necessary and offers managers a guiding framework. Originality/value – By providing a multidimensional perspective on service innovation, this study merges various previous research into a synthesized discussion. Combining a resources and capabilities perspective with a business model framework also leads to new insights regarding service innovation and associated activities.

Towards a taxonomy of crowdsourced delivery business models

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Georgiana Ciobotaru ◽  
Stanislav Chankov
Keyword(s):  
Business Model ◽  
Business Models ◽  
Principal Component ◽  
Model Framework ◽  
Content Type ◽  
Holistic Understanding ◽  
Global Logistics ◽  
Delivery Services ◽  
Crowd Logistics ◽  
Start Ups

PurposeThe paper aims to develop (1) a comprehensive framework for classifying crowdshipping business models and (2) a taxonomy of currently implemented crowdshipping business models.Design/methodology/approachThe business models of 105 companies offering crowdsourced delivery services are analysed. Cluster analysis and principal component analysis are applied to develop a business model taxonomy.FindingsA detailed crowdsourced delivery business model framework with 74 features is developed. Based on it, six distinct clusters of crowdshipping business models are identified. One cluster stands out as the most appealing to customers based on social media metrics, indicating which type of crowdshipping business models is the most successful.Research limitations/implicationsDetailed investigations of each of the six clusters and of recent crowdshipping business model developments are needed in further research in order to enhance the derived taxonomy.Practical implicationsThis paper serves as a best-practices guide for both start-ups and global logistics operators for establishing or further developing their crowdsourced delivery business models.Originality/valueThis paper provides a holistic understanding of the business models applied in the crowdshipping industry and is a valuable contribution to the yet small amount of studies in the crowd logistics field.

The anatomy of circular economy transition in the fashion industry

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sita Mishra ◽  
Sheetal Jain ◽  
Gunjan Malhotra
Keyword(s):  
Business Model ◽  
Value Chain ◽  
Circular Economy ◽  
Business Models ◽  
Closed Loop ◽  
Phase 1 ◽  
Extensive Literature ◽  
Fashion Industry ◽  
Model Framework ◽  
Content Type

Purpose Unsustainable fashion consumption and wasteful practices have recently garnered attention in practice and academia; however, research in this field is limited. This study is based upon an extensive review of the literature and aims to fill this gap by providing an in-depth understanding of various drivers and actors operating in the closed-loop fashion value chain. The purpose of this study is to develop a framework of transformation from the linear economy (LE) to the circular economy (CE) for the fashion industry based on “transition theory.” Design/methodology/approach This study is conducted in two phases. In Phase 1, a bibliographic compilation on the given subject is done. In Phase 2, data about the case company is collected through trade media and semi-structured interviews with the founder and the designers. Findings The study found that key drivers for the closed-loop fashion value chain are collaboration with partners, innovation, waste management system, customer connect and changing utilization patterns. Based on the extensive literature review and analysis of the case study, it can be concluded that to incorporate CE principles, namely, reduce, repair, reuse and recycle into current business models, redefining existing value propositions and transforming various business model elements is essential. Practical implications A three-level (discrete level, aggregator level and the peripheral level) framework is developed that can help the fashion industry in transition from LE to CE. This study will help fashion houses to understand how they can work in tandem with various stakeholders to develop sustainable business models. Originality/value This paper contributes to research by advancing the understanding of how to further develop and redesign an innovative business model framework for the circular fashion value chain. A three-level framework is developed that can be used for transition from LE to CE, especially in the fashion industry. This study is one of the first research that has tried to analyze the Indian case company for CE practices in fashion.

Exploring business model innovation for competitive advantage: a lesson from an emerging market

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Natasha Saqib ◽  
Mir Shahid Satar
Keyword(s):  
Emerging Markets ◽  
Competitive Advantage ◽  
Customer Service ◽  
Business Model ◽  
Service Sector ◽  
Business Models ◽  
Current Knowledge ◽  
Emerging Market ◽  
Business Model Innovation ◽  
Content Type

Purpose Emerging markets are witnessing rapid changes in their economy owing to the ongoing liberalization and globalization. India, as one of the emerging markets in south Asia, is also experiencing a dramatic change in its business ecosystem. This poses huge opportunities to the companies, both start-ups and established ones. In this direction, the business model innovation offers a strategic renewal mechanism. The study aims to explore the practices of an online transport network company (OLA) creating a distinctive place for itself in Indian taxi service sector. Design/methodology/approach Methodologically, an exploratory case study of an India-based online transport company (OLA) business model innovation is reported. Findings This paper reveals that OLA has been able to gain competitive advantage in the Indian emerging market by developing an innovative business model with its distinctive features of personalised customer service, asset sharing, usage-based pricing, collaborative ecosystem, agile and adaptive organising and successful expansion strategies. Research limitations/implications This study adds to current knowledge concerning the theoretical foundations and antecedents of business model innovation as a competitive advantage. The paper is explorative in nature because the analysis is mostly based on literature review. Furthermore, in consideration of the analysis of business model of a single company, further research is required to generalize the results. Practical implications The understanding of the intricacies of business model innovation can be of great concern to existing and prospective managers and entrepreneurs of emerging markets. Originality/value The paper discusses the features of innovative business models and how firms can make their business models more relevant to the competitive markets. As such, the study is hopeful to aid practitioners engaged in the pursuit of beating the competition with innovation driven business models.

Sign in / Sign up

Export Citation Format

Share Document