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Fit between product market strategy and business model theme in digital markets: A set of propositions
Linnaeus University, Faculty of Technology, Department of Informatics. (Gunilla Bradley Center)
Linnaeus University, Faculty of Technology, Department of Informatics. (Gunilla Bradley Center)
2016 (English)In: 10th European Conference on Information Systems Management,  Évora, Portugal on 8-9 September 2016, 2016Conference paper, Poster (with or without abstract) (Refereed)
Abstract [en]

While previous research has examined extensively the fit between an organization’s environment and structure, it was unable to account for the unique sources of economic value creation that the emerged digital markets established. Recent development of the Business Model construct addresses the peculiarities of digital markets and has initiated expiration of the fit between a firm’s two key sources of economic value creation: its product and its business model, with the underlying question: how do firm’s business model themes and product market strategies interact to impact firm’s performance. Following Amit and Zott’s (2008) path breaking study, where the novelty-cantered business model was found to have positive effect on performance when coupled with differentiation, cost-leadership and early entry product market strategies, the present research aims to further advance that initiative. We formulate and justify a set of new research propositions where conventional product market strategies (differentiation vs. costs leadership, mass vs. niche market, early vs. late entry) are matched with the four business model themes (novelty, efficiency, lock-in, and complementarity). The propositions focus on the fit between product market strategies and business model themes with contingencies to digital business contexts, and thereby potentially accounting for the peculiarities of digitalization as manifested in their unique shape of network effects and marginal cost structures. 

Place, publisher, year, edition, pages
2016.
Keywords [en]
Organizational Performance, Business Model, Product Market Strategy, Contingency factors, Complementarity
National Category
Information Systems
Research subject
Computer and Information Sciences Computer Science, Information Systems
Identifiers
URN: urn:nbn:se:lnu:diva-56579OAI: oai:DiVA.org:lnu-56579DiVA, id: diva2:971962
Conference
European Conference on Information Systems Management (ECISM), Évora, Portugal on 8-9 September 2016
Available from: 2016-09-19 Created: 2016-09-19 Last updated: 2018-01-10Bibliographically approved

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Koczkas, AndreasHaftor, Darek

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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