How knowledge heterogeneity influences business model design: mediating effects of strategic learning and bricolage

Abstract

Embedded and dispersed heterogeneous knowledge are the wealth of firms to design a unique business model, simultaneously avoid the high cost of external acquisition. However, little is known about how to use knowledge heterogeneity effectively to design business model, and it is even less understood that entrepreneurial firms can use what kind of behaviors to integrate the heterogeneous knowledge, thereby achieving the purpose of business model design. To address these gaps, this study focused on the impact of knowledge heterogeneity on business model design, as well as two significant behaviors, which may play the roles of strategic learning and bricolage as mediating constructs. Basing on a survey of 248 entrepreneurs, structural equation model and PRODCLIN 2 were used to test direct and mediating effects. We found that in addition to the expected direct effects of knowledge heterogeneity on business model design, the effects were mediated by strategic learning and bricolage. These findings highlight the importance of strategic learning in conjunction with bricolage for business model design and provide an understanding of how to utilize heterogeneous knowledge to design business model. This study contributes to business model research by incorporating the processes of knowledge transformation and production.