Business Model Management Research Articles

Efficient scale and scope of business models used in municipal solid waste management

PurposeThe paper aims to compare the efficiency of alternative municipal solid waste (MSW) management business models: a single provider against multiple providers.Design/methodology/approachIn this paper the drivers of MSW management costs are analysed to test the impact of the scale and scope of MSW management services on the average cost. While the business-as-usual scenario foresees a single provider, the alternative scenario foresees multiple providers.FindingsBased on the empirical data on municipal waste management costs, on average, the size and the average cost of the service are inversely related. This trend is supported using sub-sets defined by the quantity of waste managed. Multiple factors aid in explaining this result, and among others, due to scale and scope, factors such as transition costs increase with the number of players running different services.Practical implicationsThe provision of public services of economic interest should favour the participation of more companies wherever possible to the extent that social surplus is produced. However, pursuing this principle to the detriment of efficient service delivery is not ideal. This paper demonstrated that a single-provider waste management business model is efficient under specific conditions, as in this article.Originality/valueThis paper presents an original research methodology for comparatively analysing waste management service efficiency in urban areas and provides adequate evidence using alternative measures of costs according to the phase of the waste management chain, the scale and ultimately the scope of MSW management services.

Development of an Inclusive City-Wide Faecal Sludge Management Business Model for Kabwe Town, Zambia

Investment in sanitation solutions reduce disease burdens and is a huge market for public and private businesses since billons of people in the world do not have access to safely managed sanitation services. However, there remains much to be done to develop, pilot and scale up business models and technologies that work to fully understand the nature and quantities of faecal sludge needing collection and treatment. In Kabwe, the lack of a comprehensive business model informed by market research has contributed to faecal sludge not reaching designated treatment sites. Private operators charge unregulated fees for emptying and use unhealthy emptying methods that risk public health and groundwater resource. This research aimed at developing an inclusive city-wide FSM business model for Kabwe Town was conducted using mixed qualitative and quantitative approaches at 172 households and institutions spread across 20 wards. The results showed that 41 percent of the containments were unlined pits which could not be desludged easily. Atleast 84 percent of households could not afford to pay $42 for emptying services, but 96 percent were willing to contribute a monthly staggered tariff for emptying service which would make the service affordable regardless of socioeconomic status. It was estimated that at least 8,882m3/year of sludge would be available for emptying. With minimal overhead costs, utilising existing infrastructure and charging an emptying fee of $1 – $3 or $3 – $9/m3, the business would make a positive net profit in the first year of operations and offset a loan amount of upto to $28,400. The model demonstrated that in as much as financial resources are required, minimal start-up capital coupled with prudent planning, utilisation of readily available resources are key success factors. The study brought out key areas of attention which includes the need for awareness creation, pro-poor diverse payment schemes to increase demand and concerted stakeholders efforts on issues of policy, enforcement and capacity strengthening.

Цифровая стратегия предприятия: реалии и возможности трансформации

Creating effective digital strategies is important for the enterprise business environment, it is becoming part of the competition: the pace and depth of digital transformation increasingly determine the enterprise competitiveness. Transformational logic requires rethinking not only approaches to business, but the entire management process. The goals of the enterprise digital strategy at any level must be in agreement with the strategic priorities. There have been identified the basic models of the enterprise digital transformation, proved the connection between the goals, as well as models and strategies of digital transformation. It is significant that the transformational logic requires rethinking business approaches to improve the efficiency of existing models and business processes in the modern Russian econ-omy. Digital transformation should become a meaningful strategic process in the context of the progressive moderni-zation of the digital economy. Digital transformation should be seen as part of a corporate strategy formed through strategic analysis and having measurable goals. A model of technological development horizons is proposed as 
 a promising direction for the strategic map of business modification in the digital environment. Main provisions of the digital strategy are considered, the tasks and stages of developing a digital strategy with a roadmap are defined. The digi-tal strategy is found to determine the operational effectiveness of the business model of the enterprise management.

Music in business and management studies: a systematic literature review and research agenda

Music is the background of life, representing an international language that connects different cultures. It is also significant with respect to economies, markets, and businesses. The literature in the music field has identified several issues related to the role of digitalization in the revolution of music, the distribution of music products, the management and organization of music events, music marketing strategies, and the position of musicians as entrepreneurs. This paper comprises a systematic literature review of the most recent articles discussing the numerous connections between music, business, and management (2017–2022). Through a rigorous protocol, this research discusses the effects of the digital revolution on the music industry, with particular reference to the persisting oligopoly of major labels and the new business models that integrate music streaming and social networks. The findings show the renaissance and relevance of live music events, the fundamental role of segmentation strategies for managing festivals, and the limited presence of sustainability as a priority during festivals and events management. Furthermore, the literature highlights the relevance of discussions concerning musicians’ identity, especially in light of the complex relationship between the bohemian and the entrepreneurial nature of their profession. This is followed by numerous reflections on future research opportunities, recommending theoretical and empirical in-depth studies of music industry competition, futuristic management philosophies and business models, and the roles of technology, sustainability, and financial elements in fostering artists’ success in the digital era. Finally, the paper discusses business models and strategies for musicians, festivals management, stores, and sustainability.

ЦИФРОВІЗАЦІЯ ПІДПРИЄМСТВ ТУРИЗМУ В УМОВАХ КРИЗИ

The article is devoted to the study of digitalization of tourism business and its definition. Based on the studied data, a definition of digitization is proposed. The state of the tourism industry and the innovative component of economy at the current stage is analyzed. The main principles of digitization are highlighted, examples of digital transformations of different levels at tourism enterprises are considered: work with clients, operational business processes and the general business model (management). The following general philosophical, general scientific and specialized methods were used: analysis and synthesis, descriptive method, and statistical and graphic method of data presentation. Using the method of description, we have indicated the results of the scientists’ research on this topic. The analysis and synthesis of the main principles of digitalization processes of tourism enterprises are highlighted and determined. Statistical and graphic presentation methods are used in the analysis of trends in the impact of crisis phenomena on tourism in general and the presentation of research data in a form optimized for perception. The author analyzed the current condition to implement the innovative element of tourism business enterprises, defined the concept of "digitalization" and indicated the main principles of its implementation. The developed step-by-step system and the proposed principles of digitalization can be used by stakeholders in the process of analyzing the readiness of enterprises for digitalization. Further scientific research is planned as a study of the business processes of tourism enterprises, providing recommendations in the field of strategic management based on digitalization tools.

How Transformative Business Model Renewal Leads to Sustained Exploratory Business Model Innovation in Incumbents: Insights from a System Dynamics Analysis of Case Studies

The digital era and mounting sustainability pressures have reinforced incumbents’ need to respond to radical innovation through business model innovation. Despite advancements in the literature on incumbent business model innovation, there are still open debates regarding strategies for achieving systematic innovation and poor integration between the literature on managing multiple business models and the strategic management of business model innovation. To address these gaps, we investigated three Brazilian incumbents that developed systematic business model innovation processes and analyzed their evolution. We followed a multiple case study methodology, deploying system dynamics as an analytical lens. Our findings showed that the evolution of innovation departments from business model renewal to exploration is based on a systemic tension between solving the core problems of the business and creating openness to innovation, innovation capabilities, and resources. By assigning the innovation departments a vital role in the renewed business model and exploring synergies to manage multiple business models, the companies create a “buffer” to sustain exploratory business model innovation. We suggest that the strategy for conducting business model renewal matters, especially when the renewal is transformative, aiming to shape the future. We contribute to incumbent business model innovation theory by showing the system dynamics behind the evolution from business model renewal to exploration and by connecting the management of parallel business models to the strategic management of business model innovation.

Discussion of Practical Application of Virtualization Technology in Computer System

In recent years, with the gradual development of information technology, most industries in China began to pay attention to the advantages of information technology, especially in the enterprise resource management and business model management, which can bring advanced management ideas and models for enterprises. Traditional information technology is no longer satisfactory, in this case, the application of virtual technology and computer system can greatly improve the computer productivity and system stability. In the era of highly developed information technology, the innovation of information system and the use of virtualization electronic technology to realize the urgency of effective integration ability to solve some common problems in computer system to improve the working quality of computer system, with the development of computer technology, virtualization technology application in computer system will gradually increase, the role of the enterprise will be more obvious.

APPROACHES OF EU COUNTRIES TO SOLVING ENVIRONMENTAL AND ECONOMIC PROBLEMS IN THE CONTEXT OF CIRCULAR ECONOMY DEVELOPMENT

Purpose. Analysis of the EU country's experience in the implementation of approaches to solving ecological and economic problems in the context of the development of the circular economy, which will allow to determine the priority directions for the economic development of Ukraine, to form an integrated system of state organizational and economic support for the implementation of the circular economy model. Methodology of the research. To achieve the goal, the following research methods were used: theoretical synthesis, analysis, abstract-logical - to reveal the essence of the concept of "circular economy", justify the research methodology and determine theoretical generalizations; monographic and comparative - for the systematization of scientific approaches of scientists to the theoretical aspects of the development of the circular economy and the expansion of the methodological base; graphic - for visualization of research results. Findings. The article presents the results of research into the theoretical aspects of the circular economy as a new paradigm for solving environmental and economic problems in the modern globalized world. The main principles of the circular economy concept and the advantages of its implementation are highlighted based on the experience of the European Union, a global leader in this field. The main goals, priorities and measures of the EU in the implementation of the circular economy are disclosed. Examples of successful use of circular economy business models in EU countries are given. It is substantiated that the transition to a circular economy should be systemic, deep and transformational. This will require the agreement and cooperation of all stakeholders at all levels – EU, national, regional and local and international. Ukrainian business, adopting the experience of managing circular business models in the EU countries, should make the transition to sustainable development, namely to rational production and responsible consumption. Originality. The justification of the expediency of using the experience of the EU countries in the implementation of approaches to solving ecological and economic problems in the context of the development of the circular economy was further developed. Practical value. Proposals substantiated by research results can be used by authorities and business structures for the introduction and management of circular business models. Key words: circular economy, environmental problems, environmental protection, experience of EU countries, waste.

СONCERNING THE ECONOMIC SECURITY OF THE AGRICULTURAL ENTERPRISE IN THE CONDITIONS OF WARTIME

The essence of the concept of «economic security of the functioning of agricultural enterprises» has been revealed and clarified. Methodical approaches to determining the basic level of economic security of the functioning of agricultural enterprises are proposed. The impact of military conflicts on the economic stability of agricultural enterprises is studied. The main challenges faced by agricultural enterprises in the conditions of military operations are determined. Strategies and measures are being developed to ensure the effective functioning of enterprises during the wartime period. Attention is paid to key aspects of economic security, such as risk management, resource reserve, and adaptation of business models under the influence of wartime conditions. A detailed analysis of strategies provides an understanding of how agricultural enterprises can effectively protect their economic security and maintain stability in times of military threats. The economic security of the functioning of agricultural enterprises is the state of the enterprise, which characterizes its ability to be effective, despite internal and external threats. The basic level of economic security of the functioning of agricultural enterprises is determined based on the assessment of such indicators as financial stability, production capacity, competitiveness, environmental safety. Military conflicts create significant threats to the economic security of agricultural enterprises. The main challenges include: disruption of production processes; reducing access to resources; increasing the level of risks. To ensure the effective functioning of agricultural enterprises during the war period, it is necessary to develop and implement a set of measures, such as: risk management; resource reservation; adaptation of business models. Risk management involves the development and implementation of measures aimed at reducing the probability and consequences of negative events. Resource reservation involves the creation of reserves of resources necessary to ensure the uninterrupted functioning of the enterprise. The adaptation of business models involves changing the organizational structure, technologies, production processes, etc., taking into account the conditions of wartime. The proposed strategies and measures ensure an increase in the economic security of agricultural enterprises and contribute to their sustainable functioning in the period of military threats.

Corporate Сulture in Polish and Ukrainian Enterprises in the Context of Digitalization: a Comparative Analysis

Digital transformation is one of the most important trends in modern business. It requires enterprises to change their business processes, management models, and corporate culture. The conditions of digitalization today create new challenges for organizational culture. The article investigates the formation of corporate culture in Polish and Ukrainian enterprises in the context of digitalization, which is an urgent task in the context of modern trends in global business. To achieve the set goal, a variety of research methods were used, such as comparison, observation, systems approach, structural analysis, factor analysis, synthesis method, formalization, and structural-logical generalization. The purpose of the research is to analyze the features of corporate culture of Polish and Ukrainian enterprises in the context of digital transformation. In particular, the research investigated the following: the nature of relationships between employees and managers, management style, risk perception, openness to innovation, the importance of teamwork and personal effectiveness. Key differences in the corporate culture of Polish and Ukrainian transportation and logistics enterprises were established. The advantages and disadvantages of the organizational culture of companies were identified. The main factors affecting the corporate culture of Polish and Ukrainian enterprises have been investigated and summarized. The problems of Ukrainian business in the context of war and the main reasons for the migration of companies abroad have been established and highlighted. Key recommendations for Polish and Ukrainian companies to successfully adapt to digital transformation: invest in digital technologies and infrastructure; develop a digital strategy; empower employees to embrace change; measure and track progress.This study showed that digitalization has both positive and negative impacts on corporate culture. Specifically, among the positive factors, it is worth highlighting the increase in transparency and accessibility of information, the improvement of communication and interaction, and the development of innovation and creativity. Among the negative ones, the increase in stress and burnout, the decrease in personal communication, and the increase in staff turnover. During the study, it was found that digital transformation has a significant impact on corporate culture. It requires companies to adapt to new technologies, changes in ways of working and interacting with customers and employees. Therefore, Polish and Ukrainian companies need to follow these recommendations to improve corporate culture: ensure transparency and accessibility of information; improve communication and collaboration; promote innovation and creativity; provide employee support; provide employee support.

Study on A Non-standard Business Model and Robust Risk Management Strategy of Insurance Fund Investments in China

Study on A Non-standard Business Model and Robust Risk Management Strategy of Insurance Fund Investments in China

Proposal for a Business Management Model for the Manufacturing Industry in the Region of Hidalgo, Mexico

Companies currently consider human capital a key element for organizational development, derived from the COVID pandemic that was faced in the world. All sectors were affected and the manufacturing industry was no exception, in Mexico such a situation was similar. Only in the state of Hidalgo, Mexico, in July 2020, 16,400 jobs were lost due to the impact of the value chain and mobility restriction; therefore, the objective of this research is to propose a human capital model enabling to explain the factors that contribute to the competitiveness of the manufacturing industry in the Hidalgo highlands. This study is of a quantitative type with a correlational scope, focusing on people who are incorporated into manufacturing companies in the Hidalgo highlands, and the type of sampling used is stratified probabilistic. The findings in this investigation are significant since the hypothesis that affirms the relationship between the marital status of the participants and competitiveness (0.000 in P) is accepted, in the same way the dependency between the factors of seniority and intention. Regarding the relationship of the competitiveness factor with the personal and group factors, they are significant (p<0.05) and positive, that is, the higher the value of the personal and group factors, the higher the value of the competitiveness factor, the strength of the relationships is significant because they are greater than 0.70. Based on this, the human capital model is proposed, which recommends generating personal growth opportunities for employees, influencing the competitiveness of the organization. The novelty of the study is that a dependency between the age of the collaborators and personal, group, competitiveness and organizational intention factors can be affirmed with 95% confidence. Keywords : manufacturing sector, human capital, model, competitiveness. https://doi.org/10.55463/issn.1674-2974.50.2.24

СУЧАСНИЙ СТАН ІНВЕСТИЦІЙНОГО ЗАБЕЗПЕЧЕННЯ ІНКЛЮЗИВНОГО РОЗВИТКУ СУБ’ЄКТІВ АГРОБІЗНЕСУ

Strategic development of the agricultural and rural sectors and ensuring competitiveness require implementing inclusive management business models. Solving this task requires appropriate investment support from the farming sector, which, in addition to the production plane, will consider the most critical aspects of social, ecological, gender, and cultural development and the interests of all participants in the social agrarian process. A brief overview of the current state of inclusive gaps in modern agriculture in Ukraine is provided in this article. It was revealed that significant disproportions of critical indicators of socio-economic development of the village and city, lack of equal opportunities for the development of large agribusiness and medium and small agricultural structures, and limited access of the rural population to material and non-material goods are characteristic of rural areas. The dynamics of incoming investment flows in the agricultural sector, and the volume of foreign investment attraction in absolute and geographical terms of the central donor countries are investigated. Indicators of the investment attractiveness of the national economy and the profile of the investment climate are analyzed. Based on the system of key indicators, an analysis of the dynamics and level of effectiveness of the use of foreign investments in the agriculture of Ukraine was carried out. The study of the trend of the ratio of the volume of investment flows involved in the agricultural sphere and their efficiency showed a higher level in the agricultural sphere compared with the average indicators for the types of economic activity in the country. The assessment of the structure of sources of financial support for the investment process of business entities in the agricultural sector has been carried out. The primary source of domestic agricultural investment is 90% of the own capital of agrarian business entities. This indicates the need to further search for models of differentiation of sources of investment support, which should become the primary means of overcoming existing inclusive gaps and the financial basis of sustainable development of the agricultural sector and rural areas.

Public business model management: a literature review-based integrated framework

The business model concept greatly contributes to effective and efficient management and has become important for the public sector in light of the rapid changes in its environment. However, the development of business models is still a novelty to public managers and current research lacks conceptual sophistication calling for in-depth studies. Based on an analysis of public business model frameworks, this study provides an integrated public business model framework, specifying the concept for public management. The study simplifies public business models conveying a comprehensive picture that may serve as a reference point for researchers and practitioners.

Rethinking the business process through reengineering

In management, there are many management approaches that make it possible to increase the performance indicators of the enterprise. At the same time, the priority direction of the development of enterprises is the implementation of innovative activities. To achieve success in this area, companies are changing management approaches, organizational structures and business models. However, in the conditions of constant aggravation of the competitive struggle, the achievement of high indicators of the enterprise's activity is best ensured by the reengineering of business processes. The innovativeness of reengineering lies in the fact that it combines the use of the prerogatives of computer technologies, human resource management technologies and changes in business processes. In the current economic conditions, the speed of reaction of all subsystems of the enterprise and the efficiency of operations are of particular importance and are a necessary condition for its effective functioning in the conditions of constantly intensifying competition. In this situation, reengineering is the most effective, because it contributes to increasing the efficiency of the enterprise by changing the business model it uses. Therefore, the study of reengineering procedures, its principles and tasks is relevant in today's conditions. The purpose of the study is to generalize theoretical approaches to the main principles, types and tasks of business process reengineering as a tool for effective enterprise management. The methodological basis of the study was the work of domestic and foreign scientists on the problems of reengineering and change management of enterprises. Business process reengineering is a thorough rethinking and radical redesign of business processes of enterprises that want to significantly improve their performance. . It is used when it is necessary to make a reasoned decision about the reorganization of activities: radical transformations, business restructuring, replacement of existing management structures with new ones, etc. Thanks to the effective use of business process reengineering tools, it is possible to make the enterprise more flexible to changes in the external environment and more stable in competitive conditions. Thus, the reengineering of business processes involves a decisive, fundamental restructuring of business processes and the foundations of the management organization in order to significantly increase the competitiveness of the enterprise on the market and significantly increase the efficiency of the enterprise as a whole system.

Innovative sports management business models (on the example of the Ukrainian karate federation)

The article is about summarizing the experience of competitive practices of planning, organizing and conducting sports competitions, as well as identifying potential ways to overcome them and solve them. By using the methods of theoretical analysis, generalization of data from scientific and methodological literature and sports statistics and analytics, the Internet, methods of empirical analysis, induction on the information base of the Ukrainian Karate Federation, an analysis of the sports management system was carried out, and an actual business model for holding sports competitions under the auspices of the Ukrainian Karate Federation was identified. As a result, a six-factor model for evaluating the effectiveness of sports activities based on a functional feature is proposed. The structural-logical algorithm of the method proposed above allowed the authors of the article to single out the most significant results that characterize the personal contributions of the authors and the scientific novelty of the conducted research: the content of the concept of "innovation" in sports has been improved; a new conceptual model for evaluating modern approaches to ensuring more effective sports events in Ukraine is proposed; it has been proven that the introduction of an innovative management model in karate competitions allows to increase their competitiveness in front of other sports by obtaining an economic and social effect, to increase their profitability, investment attractiveness, to achieve sustainable development; measures are proposed that will offer to solve the existing problems in the preparation and conduct of sports competitions, taking into account the strategic goals of the overall regulation of the sports ecosystem in Ukraine.

Triangle Syariah Justice Ecosystem: Constructing Business Model of Pension Fund

The objective of this paper is to redesign the Indonesian pension fund's business model and management system, and develop new strategies to balance profits, affordability, and sustainability. The authors consider the Malaysian pension system and adapt the INTERDAP application used by PT. Angkasa Pura II. Through this qualitative case study, we apply the foundations of the Triangle Syariah Justice Ecosystem (TSJE) to digitize the pension system and support green investment in the long run by modeling the business strategy, facilitating the business model and supplier relationship management, and creating mutually beneficial management among stakeholders. The study found that Malaysia's pension system has an investment purpose, while that of Indonesia only provides pension loans based on previously agreed cumulative contributions. Malaysia encourages people across the country to save on severance funds, and the pension system is still managed conventionally. Malaysia requires a pension contribution of 23 percent of the employee's base salary, while Indonesia requires a meagre 3 percent. This affects the contribution of pension funds to Gross Domestic Product (GDP), with Malaysia's pension fund accounting for 60 percent of GDP but Indonesia’s accounting for only 6 percent. The authors also consider that to become a developed country, pension funds need to reach 60 percent of GDP by 2045, because 42 percent of the total supply of funds in the infrastructure sector originates from pension funds. The practical implications of this study are on access to information, security, and transparency in the management of pension funds through a digital system supervised by the Syariah Regulator, alongside the Indonesian government's efforts to realize support for the green economy.

Constructing A Business Model for Islamic Digital Pension Fund: Depth Think Case Study from INTERDAP and Malaysia

<p><em>The objective of this paper is to redesign the Indonesian pension fund’s business model, management system, and new strategies to balance adequate profits, affordability, and sustainable programs. Consider the Malaysian pension system and adapt the INTERDAP application used by PT. Angkasa Pura II. Through this qualitative case study, we applied the foundations of the Triangle Sharia Justice Ecosystem (TSJE); Sharia, digitized the system, and supported green investment in the long run. By modeling the business strategy, facilitating the business model and supplier relationship management, and creating mutually beneficial management among stakeholders. The study found that Malaysia’s pension system has an investment purpose. Indonesia, on the other hand, provides pension loans only based on previously agreed cumulative contributions. Malaysia encourages people across the country to save on severance funds. The pension system is still managed conventionally. Malaysia requires a pension contribution of 23% of the employee’s base salary, while Indonesia requires only 3%. This will affect the contribution of pension funds to the GDP. Malaysia’s pension fund accounts for 60% of GDP. Besides, Indonesia is at only 6.03%. Another view is, to become a developed country, pension funds need to reach 60% of GDP by 2045. Because 42% of the total supply of funds in the infrastructure sector comes from pension funds. The practical implications of this study are access to information, security, and transparency in the management of pension funds through a digital system supervised by the Sharia Regulator (BPS) and the Indonesian government’s efforts to realize that supports the green economy This study integrates the foundations of the TSJE about pension funds management. The limitation of the research study is that more detailed studies and methods are needed to analyze this study. It is expected that this TSJE system will be applied further.</em><em></em></p>

Information-analytical innovations and business models of enterprise management in the modern building development system

The article is devoted to the development of methodological principles for the formation of a process-oriented enterprise management system based on a business-target approach, which provide for the transformation of a complex of business goals of an enterprise into a topology of its centers of managerial and executive responsibility in the form of a process management pyramid using the Business Model Canvas, which allows directing activities these centers to ensure the effectiveness of the processes subordinated to them and to create a framework (software environment) for business analysis. The conceptual apparatus of the theory of process management has been improved in the context of the following definitions: "business – process" as an interconnected hierarchical pair consisting of a process (object of management) and the management process of the manager (subject of management), "management business – process" as managed by the PDCA cycle of management functions (P - planning, D - organization, C - control, A - analysis and correction) hierarchy of functional operations of the head and subordinate managers of the lower management level; "technological business process" as a hierarchy of functional operations of the manager and his subordinates of the technological process managed according to the PDCA management cycle; "pyramid of process management" as a system of interconnected management and technological business processes, structured in accordance with the business tree - goals of the enterprise and aimed at their achievement. Emphasis on the management component of business processes allows to ensure the responsibility and purposeful managerial influence of process managers on their implementation, which ensures that the enterprise achieves its target settings. The process-oriented approach to value creation, which involves the formation of a system of four chains, has gained further development: the chain of creation of managerial value of the enterprise, the technological chain of creation of consumer value, the chain of creation of value of primary data (summaries, reports), the chain of creation of managerial information value for enterprise managers ; the synthesis of these four chains and their results (consumer, information and management value) enables the maximization of the economic added value of the enterprise as the resulting indicator of its activity.

Top management team internal social capital, market dynamics and business model design: a dynamic managerial capability perspective

PurposeDrawing on the dynamic managerial capability perspective and the dynamic capability perspective of business model (BM) literature, this paper aims to investigate how top management team internal social capital (TISC) promotes BM design and how such effects are moderated by market dynamics (i.e. demand uncertainty and competitive intensity).Design/methodology/approachThe proposed hypotheses were tested by a questionnaire-based survey. The empirical study was conducted on a sample of 210 firms in China. The model was tested via hierarchical regression analysis.FindingsTISC has a positive effect on BM efficiency but an inverted U-shaped effect on BM novelty. The effects of TISC on BM efficiency and novelty are contingent on demand uncertainty and competitive intensity in different ways. Specifically, this study finds that demand uncertainty strengthens the inverted U-shaped effect of TISC on BM novelty. This study also finds that competitive intensity strengthens the positive effect of TISC on BM efficiency but weakens the inverted U-shaped effect of TISC on BM novelty.Originality/valueThe conclusion contributes to the dynamic capability perspective of BM literature in two ways. First, it offers a dynamic managerial capability perspective for understanding the antecedents of BM design. It highlights TISC, a root of dynamic managerial capability, as an important internal antecedent of BM design. Second, it provides a more nuanced understanding of the role of TISC in BM design. The findings show the distinct effects of TISC on BM efficiency and novelty. This study also discusses the contingency role market dynamics play in the TISC–BM design relationship.