lnu.sePublications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Barriers and Enablers of Digital Business model Transformation
Linnaeus University, Faculty of Technology, Department of Informatics.
Linnaeus University, Faculty of Technology, Department of Informatics. (LiDBRI: Linnaeus Digital Business Research Initiative - http://lnu.se/research-groups/lidbri?l=en)
2015 (English)In: Proceedings of 9th European Conference on IS Management and Evaluation, ECIME 2015: The University of West England, UK, 21-22 September 2015 / [ed] Renata Paola Dameri, Roberto Garelli, Marina Resta, Academic Conferences Limited, 2015, p. 262-269Conference paper, Published paper (Refereed)
Abstract [en]

This paper presents some current results from an ongoing research into how a non-digital business model may transform successfully into a digital business model.

Amit and Zott’s break-through business model construct is assumed here as the core conceptual foundation for digitalization. Its main focus on economic value creation and appropriation attempts to unify several contemporary theoretical strands (Schumpeterian innovation, value chain logic, product-market strategies, resource-based view of firm, transaction cost economics and strategic networks). Building upon this conceptualization and by using a digital transformation of a bookselling company as a means of illustration, we bring to the forefront two central arguments to be considered for a successful transformation of business model from non-digital to digital. First, digital transformations shift the notion of firm centric value creation and as such cannot be comprehended without the network. Thus the digital transformation of business models implies multi-actor coordination, where no single executive authority may command the desired behavior, other than by means of negotiations. Secondly, the economic characteristics of digital information challenge conventional managerial wisdom such as the function of positive network effects being opposite to the conventional business logic, reduction of transaction costs and the negligible marginal costs, among others. A key assumption here is that managers’ wisdom is challenged by these characteristics of digital information economics as they act as filters that enable and hinder opportunities, adequate analysis, planning and decision-making.

A review of previous studies on business model change indicates that digital transformation of business models is rather under-researched. Analysis show that whilst these studies provide solid grounds on the factors that hinder and enable business model change, they may not be sufficient to explain and account for digital transformation of business models. Majority of these studies provide very weak connections of the business model with the value network thus disregarding the very distinct feature of business model. We consider that future exploration of these central arguments that this study advocates, would potentially provide insights on how to embark into a successful transformation, and thereby avoid the tragic fate of Blockbuster.

Place, publisher, year, edition, pages
Academic Conferences Limited, 2015. p. 262-269
Series
Proceedings of the European Conference on Information Management and Evaluation, ISSN 2048-8912
Keywords [en]
business models, digitization, business model transformation, economics of information
National Category
Information Systems
Research subject
Computer and Information Sciences Computer Science, Information Systems
Identifiers
URN: urn:nbn:se:lnu:diva-46258ISI: 000371980300031Scopus ID: 2-s2.0-84994130127ISBN: 978‐1‐910810‐54‐5 (print)OAI: oai:DiVA.org:lnu-46258DiVA, id: diva2:853378
Conference
European Conference on IS Management and Evaluation ECIME 2015, Bristol
Available from: 2015-09-13 Created: 2015-09-13 Last updated: 2018-01-11Bibliographically approved

Open Access in DiVA

No full text in DiVA

Other links

ScopusAbstracts

Authority records BETA

Kurti, ErdelinaHaftor, Darek

Search in DiVA

By author/editor
Kurti, ErdelinaHaftor, Darek
By organisation
Department of Informatics
Information Systems

Search outside of DiVA

GoogleGoogle Scholar

isbn
urn-nbn

Altmetric score

isbn
urn-nbn
Total: 3428 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf