Service innovation capabilities as the precursor to business model innovation: a conditional process analysis

Abstract

ABSTRACTEspousing a continuous innovation in existing business models is a necessity to sustain in present dynamic status quo of emerging mobile banking sector of Pakistan. Therefore, this research aims to empirically investigate the factors that affect the business model innovation among the key players of the mobile banking sector of Pakistan. In this regard, four research questions have been formulated. Research survey has been conducted from the 365 employees of mobile banking sector of Pakistan through a stratified sampling strategy. The collected data were analyzed using the regression-based process approach of Andrew Hayes [2017. Introduction to mediation, moderation, and conditional process analysis: A regression-based approach. Guilford Press]. The results of the collected data revealed that the service innovation capabilities, innovation success and knowledge exploration serve as the antecedents of business model innovation among Pakistani mobile banking sector. The contribution of this research work is evident from the fact that no or negligible researches on the business model innovation have been carried earlier in the cultural context of Pakistan. Furthermore, this research work attempts to close some of the identified gaps in the literature.