Learning while (re)configuring: Business model innovation processes in established firms

Author:

Berends Hans12,Smits Armand32,Reymen Isabelle2,Podoynitsyna Ksenia2

Affiliation:

1. VU University Amsterdam, The Netherlands

2. Eindhoven University of Technology, The Netherlands

3. Radboud University, The Netherlands

Abstract

This study addresses the question of how established organizations develop new business models over time, using a process research approach to trace how four business model innovation trajectories unfold. With organizational learning as analytical lens, we discern two process patterns: “drifting” starts with an emphasis on experiential learning and shifts later to cognitive search; “leaping,” in contrast, starts with an emphasis on cognitive search and shifts later to experiential learning. Both drifting and leaping can result in radical business model innovations, while their occurrence depends on whether a new business model takes off from an existing model and when it goes into operation. We discuss the implications of these findings for theory on business models and organizational learning.

Publisher

SAGE Publications

Subject

Strategy and Management,Industrial relations,Education,Business and International Management

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