Now showing 1 - 10 of 11
  • Publication
    Capturing value from Business Models: The role of formal and informal protection strategies
    As an overarching concept a business model describes how a firm creates and captures value for itself, its customers, and its partners. Although research has highlighted the importance of value creation and capture of business models, it primarily focused on the value creation mechanisms and neglected aspects of value capturing: Until to date, little is known about how firms attempt to protect their business models from competition, which is a critical component of value capture. Drawing on a sample of 24 cases, we explore how business models relate to IP protection mechanisms for value capture and derive a business model protection framework. Our empirical study reveals that the choice of IP protection is contingent on the applied business model. Whereas some razor and blade business models are characterized by a high degree of both formal and informal protection, firms operating franchising business models put higher emphasis on informal protection strategies. Firms running the pay-per-use business model or the multi-sided platform business model apply formal and informal protection strategies to a medium degree in order to capture value. Our findings extend business model literature on novel insights on intellectual property management and also extend the ‘profiting from innovation literature’ on protection mechanisms in the context of business models.
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    Scopus© Citations 14
  • Publication
    Intra-firm Networks and Novelty-centered Business Models
    The business model is referred to as a boundary-spanning activity system, which focuses on a focal firm while at the same time taking into account the value creating and value delivering activities of partners, suppliers and customers. While past research has predominantly focused on value creating and delivering mechanisms of business models we go beyond this transactional dimension and extend business model literature on social relationships between participants, who create novelty-centered business models. In particular, we examined intra-firm networks of business model innovation project teams and their effects on the creation of novelty-centered business model innovations. An analysis of 76 intra-firm network configurations in 20 incumbents within the service and manufacturing industry confirmed our hypotheses. Tie strength between business model innovation project teams and their interacting organizational subunits shows a U-shaped relationship with novelty-centered business model design, whereas network closeness and novelty-centered business models are positively, linear related.
  • Publication
    Business Model Innovation : Leveraging existing logics for future opportunities
    (Research and Development Management, 2013-06-26) ;
    Eisert, Uli
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    In recent years business model innovations have raised much attention among both researchers and practitioners. Nevertheless, they are still poorly understood compared to other types of innovations. Thus, the innovation process is imperfectly supported and best practices are rarely used. While companies very often include knowledge about existing solutions systematically into the innovation process for products, services or processes, they are not on the same level when it comes to business model innovations. The systematic usage of knowledge about existing business models seems to be key for an effective and efficient innovation process. Even though business models are very specific on a company level, they can be aggregated to archetypes that allow for a general categorization of all types of business models. Based on literature review and an empirical analysis of a 29 firms we develop a framework for business model archetypes and discuss this framework in the context of the innovation process. We argue that the framework of business model archetypes can be used in the early stages of the innovation process and can contribute to better results in particular in the ideation phase.
  • Publication
    Business Model Innovation and Intellectual Property Management
    As an overarching concept a business model describes how a firm creates and captures value for itself, its customers, and its partners. Although research has highlighted the importance of value creation and capture of business models, it primarily focused on the value creation mechanisms and neglected aspects of value capturing: Until to date, little is known about how firms attempt to protect their business model innovations from competition, which depicts one aspect of value capturing. Drawing on a sample of 24 cases, we derive a business model protection framework, which provides insights about how business models relate to IP protection mechanisms for value capture. Our empirical study reveals that the choice of IP protection is contingent on the applied business model. While some business models are characterized by both a high degree of formal and informal protection, others primarily apply informal protection mechanisms to profit from business model innovation.
  • Publication
    Transformative Influence of Business Processes on the Business Model : Classifying the State of the Practice in the Software Industry
    (IEEE Computer Society, 2013-01-07) ; ;
    Di Valentin, Christina
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    Zeißner, Theresa
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    Pussep, Anton
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    Schief, Markus
    Fast changing business environments often force companies to rethink and renew their established business model. Often though, decisions to make changes to the current business model are made too late, when the current business is already struggling. One way to overcome this challenge is to continuously monitor business processes in operations and to adjust the business model according to changes in business processes. This paper clarifies the influence of business processes on the business model. Based on a literature review, expert interviews and inductive reasoning, we derive a classification framework for receiving new insights into the maturity of current KPI-systems and their strategic importance with regards to business model changes. While some companies consider the connection as so important that they set up sophisticated performance measurement systems, others rely much less on process KPIs to initiate business model changes. Investigating these differences marks a promising starting point for future research.
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    Scopus© Citations 23
  • Publication
    Transforming Software Business Models into Business Processes
    (SciTePress, 2012-06-28)
    Schief, Markus
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    Maciaszek, Leszek
    Changed business models, such as induced by Software-as-a-Service, require an effective implementation in a firm's organization. This study clarifies the relation between business models as an implementation of a company's strategy, and business processes, as an abstraction of a company's operations. The presented transformation framework provides specific meaning to the industrial setting of a software vendor morphing to a SaaS model. Both underlying concepts, the business model and the value chain, as a coarse-grained view on business processes, stem from software industry research. The explorative findings cover a detailed description of the transformation framework as well as an exemplary expert survey that can serve as a refer-ence for software firm decision makers. Thus, the study provides profound insights into the potential opera-tional impacts of business model changes.
  • Publication
    Leveraging the Software Ecosystem : Towards a Business Model Framework for Marketplaces
    (SciTePress, 2012-07-24) ;
    Giessmann, Andrea
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    Eisert, Uli
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    Obaidat, Mohammad S.
    Software platforms in the form of marketplaces like Salesforce.com`s AppExchange, Netsuite`s SuiteApp or SAP`s Commercial Platform are changing the way how software and services are distributed, consumed, and priced. Technical innovations in the underlying platforms receive high attention, while innovative business models that build on and commercialize a flourishing ecosystem are neglected. In this paper we investigate the question which marketplace business model options are available to software platform owners that want to commercialize their ecosystem's products and services. We present a framework of ten possible models that is derived from both theory and practice. The options are clustered by the required level of product/service standardization to guide the choice of business model. The framework may serve decision makers as a starting point for their business model innovation plans.
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  • Publication
    Landis+Gyr: Designing and Analyzing Business Models in Value Networks
    (Springer, 2014) ;
    Bjelajac, Branko
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    Strunz, Alexander
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    Schweitzer, Fiona
    In cooperation with the University of St. Gallen, Landis+Gyr developed a standardized approach for the design, analysis and comparison of business model ideas that follow the logic of value networks. Within value networks, value is created through the cooperation of several companies that jointly form a business model that generates added value for the end customer as well as for all participants. Focusing on the energy market as area of application for the new model, Landis+Gyr made a major effort to gather various new business model ideas considering the company's future role in the electric power value network. For this purpose, an eight-step approach for the design and analysis of value network business models has been developed that entails the most relevant dimensions required to evaluate the attractiveness of value networks as well as the attractiveness for each participant. The model is useful as it provides a structured approach to describing new, complex business models and ecosystems. Its predictive power has yet to be validated by applying it to existing business models and benchmarking the predicted performance as well as selected roles against real-life data. Only after this has been done with a positive outcome, the model will have a chance of being endorsed by academia and the business community as a tool to support business decision-making.
  • Publication
    Transformation Mechanisms in the Business Model/Business Process Interface
    (IGI Global, 2014) ;
    Schief, Markus
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    Many scholars view the emerging business model concept as the missing link between a company's strategy and its operational implementation into business processes. They remain vague, however, in answering the question as to how strategy-induced changes to the business model can be transformed into business process adjustments. The other way round-a feedback mechanism that triggers business model adjustments in case of issues at the business process level-is not conceptualized either. The study hence is twofold. The authors explore both the top-down (business model to business process) and the bottom-up (business process to business model) perspective of this interface. The top-down part considers business model changes, such as induced by adopting a Software-as-a-Service strategy, which require an effective implementation in a firm's organization. The explorative findings cover a detailed description of the transformation framework as well as an exemplary expert survey that can serve as a reference for software firm decision makers. The bottom-up part clarifies the influence of business processes on the business model based on a literature review, expert interviews, and inductive reasoning. The authors derive a classification framework that provides new insights into the maturity of current KPI-systems and their strategic importance with regards to business model changes.