Perspective Chapter: Business Ecosystems – A Structure to Commercialize Value Chain of Rural Economies in Developing Areas

Abstract

In this chapter, we begin with the motivating question: How can firms in rural areas be organized to foster development and transformation by commercializing their activities? In developing countries, the business environment in rural areas has limited amenities and infrastructure. Firms in such areas have limited capabilities to solely commercialize their activities. To create value and capture a sizable value from activities, firms should redefine their Industry Architecture (IA): who does what, and who gets what? And change their business model from transactional to collaborative or ecosystem. The chapter informs stakeholders in rural development on significant steps and measures to be taken to structure a viable and commercial business ecosystem. Also, the theoretical contribution to fostering rural development and transformation by changing the Industry Architecture, Value Chain, and Business Ecosystems is remarkable. The chapter concludes by proposing firms work together to gain an architectural advantage: Maximizing the complementarity and mobility of assets.