The Open Innovation – Strategy nexus: findings from the Mobile Telecommunications Industry

Abstract

Purpose This study aims to recognize the growing importance of Open Innovation (OI) theory and practice in the broader fields of Management and Information Systems, and focuse on the relationship existing between OI and a firm’s Business Strategy. Hence, the study aims at investigating the multifaceted OI – Strategy nexus at a business level, assessing how OI initiatives influence Strategy within the Mobile Telecommunications Industry and thus contributing to framing and classifying such inherent relationship. Design/methodology/approach A data-driven research approach is used, based on 45 qualitative interviews on firms operating in the Mobile Industry and involved in OI initiatives. Findings Six cross-themes the OI–Strategy relationship in the Mobile Industry revolves around are identified, i.e. OI and Competitive Advantage; OI and Strategic Positioning; OI and Business Models; OI in Networks; OI and Co-opetition; and OI and Resilient Business Advantages. For each theme, examples from the sample of interviewed Mobile firms are organized and reported. The key managerial issues emerging in the attempt to relate OI initiatives and the firm’s overarching Strategy are also underscored and organized in three streams, namely, designing an open business model; achieving competitive advantage through value capture; and nurturing OI as a dynamic capability. Originality/value The proposed reorganization of real-world OI and strategic initiatives in the Mobile Industry, together with the underscoring of key managerial issues, constitutes a comprehensive research agenda or roadmap, with value for both academics and practitioners.