Digital transformation strategy of business models: A framework approach in improving the traditional business model of software industry

Abstract

Organizations have leveraged the business model concept from the past two decades and emerging digital technologies that helped them remain competitive in the market. This paper mainly focuses on the various literature reviews that introduced the concept of digital transformation applied to business models, phases, and scope of changes in business models that can be leveraged in value proposition and innovation. The purpose of this paper is to integrate digital technologies like social media, analytics, cloud, and the Internet of Things (IoT)with the business model of startups and other software organizations. A Framework that captures the value proposition, process architecture, and financial stability of the organizations in the digital economy. This paper aims to improve the various existing models that lack digital aspects in the operational, value chain, and customer aspects. Leveraging the Shaping and visionary approach, this paper promotes the digital transformation of incumbents’ business model to venture into a sustainable competitive environment.