Digital Business Models Research Articles

Looking to the past, considering the present and preparing for the future: digital technologies and the business model canvas

Purpose This paper aims to propose a reconfiguration of the business model canvas (BMC) to highlight the relevant, and often critical, role of digital technologies (DTs). Design/methodology/approach The authors review the business model literature to further clarify its dynamic nature (expressed by innovation, adaptation and experimentation) and the factors that may affect it. Ultimately, to better capture the role of DTs, the authors posit a new iteration of the BMC (namely, the digital business model canvas [DiBMC]). Findings Historically, DTs were not clearly represented in the BMC, often resulting in them being disparately woven into other boxes or not clearly captured at all. By reconfiguring the nine original building blocks, and adding two new ones related to DTs, the DiBMC supports a more complete visualization of how value is created and the role of DTs. Originality/value DTs are too relevant in today’s business environment to not more formally model them on BMCs. The proposed reconfiguration of the BMC into the DiBMC improves the utility of the tool for practitioners, scholars and students alike.

Towards strategic digital transformation: Manufacturing sustainability via crowdfunding, business model innovation, and supportive digital culture

Digitalization has brought both opportunities and challenges, requiring organizations to strategically transform to remain sustainable. This study used Innovation diffusion and resource-based view Framework, to investigate the sequential mediation framework, how strategic digital orientation drives sustainable performance via the mediators of crowdfunding and digital business model innovation, as well as the moderating role of digital organizational culture. Data was collected from 373 executives level employees in Chinese manufacturing SMEs and analyzed using a hybrid SEM-ANN approach. Results demonstrate crowdfunding mediates the link between digital orientation and sustainability. Moreover, business model innovation sequentially mediates the relationships between digital orientation, crowdfunding, and sustainability. In addition, digital organizational culture moderates the link between strategic digital orientation, business model transformation, and crowdfunding. This study offers an enriched understanding of sustainable business practices within the context of SME's and provides useful insights for practitioners, academia and investors striving to boost sustainable growth in SME's sector.

Towards digitalization of the circular economy in the furniture industry

Fashionable, cheap furniture of questionable quality is often used for short-term economic gain. If the furniture is not liked, it is quickly discarded. The need to reduce CO2 emissions, dwindling resources and social and political demands contradict this practice and require the implementation of closed-loops material cycles and the introduction of circular business models. A systematic literature review and a case study were conducted to provide a comprehensive overview of current circular economy strategies (e.g. reuse, refurbishment and recycling) implemented in the furniture industry in relation to various key activities of platform companies. As part of the case study, interviews were conducted with stakeholders and experts from the furniture and interior design industry. The European Circular Economy Stakeholder Platform was also consulted. The literature review and the case study show that the furniture industry is in a state of transition. By incorporating designs that allow for improved remanufacturing, refurbishment and reuse, companies in the industry are increasingly starting to consider circular economy patterns. Increasing digitization and servitization are driving new circular business models. Another key finding is that digital platforms are suitable for connecting stakeholders such as manufacturers, service providers and consumers, taking into account the relevant business models. The study also identified motivations, barriers and requirements for the implementation of circular and digital business models in the furniture and interior design industry. There is still a large gap between what can be achieved with a circular economy and its actual implementation.

A Paradigm Shift in Cross-Border E-Commerce Regulatory Compliance: Evidence From Brazil

Cross-border e-commerce data quality and taxation pose a challenge for customs administrations worldwide. The increased volume of transactions involving small packages addressed to individuals has led to more precise controls, imposing a new dynamic in the need to receive accurate data. Globalisation has reached individuals actively participating in international trade as direct importers and exporters, made scalable by the platform-type digital business model. This study uses a qualitative approach to analyse Brazil’s Programa Remessa Conforme (Compliant Shipment Program), implemented by companies that treat small parcels in Brazil. It illustrates the program’s contribution to improving data quality, controls, and better allocation of human and technological resources in risk management, stimulating good practices and contributing to tax collection. Our findings also hold practical applications that can be used by other emerging markets facing similar issues in managing the risk associated with small packages.

Machine Learning-Driven RUL Prediction and Uncertainty Quantification for Ball Screw Drives in a Cloud-Ready Maintenance Framework

In today's rapidly evolving industrial landscape, efficient predictive maintenance solutions are essential for minimizing downtime and enhancing productivity. This research introduces an adaptive cloud-based model pipeline for predicting the Remaining Useful Life (RUL) of machine components, specifically ball screws. The pipeline integrates local preprocessing, edge computing, and cloud-based adaptive model training, ensuring data privacy and reducing data transmission volumes. The system classifies wear states using various machine learning mod-els and predicts RUL through regression analysis, incorporating uncertainty quantification for robust maintenance scheduling. The experimental setup includes accelerated degradation of ball screws, with data collected via a three-dimensional accelerometer. Feature extraction and data augmentation techniques are employed to enhance prediction accuracy. Random Forest and Gradient Boosting models demonstrate superior performance, with Random Forest selected for its robustness and uncertainty quantification capabilities. Empirical results indicate high prediction accuracy, with Random Forest achieving up to 91% accuracy in Phase 2. This cloud-ready predictive maintenance framework leverages scalable cloud infrastructure for efficient data processing and real-time updates, offering a practical solution for industrial applications. The proposed approach significantly advances the adoption of digital business models within the manufacturing industry, providing a reliable and efficient tool for predictive maintenance.

Business model structuration in Industry 4.0: an analysis of the value-based strategies of smart service providers in Brazil

PurposeThis study examines the use of a dynamic value-based approach to analyze the business model structuration of smart service providers in Brazil, mapping their value creation, configuration and appropriation strategies, and determining how well-defined their current business models are.Design/methodology/approachThis is a qualitative study based on semi-structured interviews with entrepreneurs (or CEOs and directors of technology) of seven business ventures in three different phases of business model structuration: (1) academic: companies or innovation and research centers linked to universities; (2) startups: technology-based companies originating from the technological needs of clients, be they new branches of the traditional business of incumbents or new entrants and (3) autonomous service providers whose offerings are related to master’s or doctoral projects.FindingsWe propose a typology of business model structuration with four stages. At first (individual or initial business model), albeit with high skilling of owners, only manual or adaptation services are offered. In the second stage (platform business model), although services offered are oriented toward the entire process automatization of the client (Factory integrated), technologies are restricted to the client company (or even one department) and these clients' needs are mainly data processing and connectivity. In the third stage (scaling digital business model), although the services offered are oriented toward greater digitalization through an entire array of field devices connected to the internet (IoT) and organized in a more formalized structure, the business model is still being constructed, companies in this stage are mainly startups. In the fourth stage (innovation ecosystem business model), the entire manufacturing process is digitized, with integration and network connectivity, both between service providers and the extended supply chain of their clients, and new technologies are customized and developed through the interaction of a whole innovation ecosystem.Research limitations/implicationsMapping value-based strategies aids in understanding business model structuration in Industry 4.0. Future research should focus on parameterizing the dimensions founded of each value strategy.Originality/valueThis study advances the comprehension of the business model in |Industry 4.0 by providing a value-based strategy perspective of business model structuration. Practically, by focusing on smart service providers, it contributes to a greater understanding of smart service providers in Brazil and their strategic challenges.

National Cultures in Times of Digital Transformation of the Travel Industry: Qualitative Exploration of Effects on Digital Business Models

Globalization and digitalization raise questions about the contemporary role of national culture. Investigating digital business models (BMs) in the travel industry, this study clarifies the effects of national cultures on them. Thirty-nine impactful aspects of national cultures— 25 institutional and 14 ideational—are identified based on qualitative research. These aspects are derived from various cross-cultural frameworks and include three newly suggested cultural dimensions. The proposed model clarifies the mechanism of the impact. The study restates the significance of national cultures in the digital era and places emphasis on the importance of both institutional and ideational sides of national cultures. The study would be helpful to practitioners in deciding on suitable places for a business opening and localizing BMs across international borders.

DIGITAL QUALITY OF SOCIETY’S LIFE AS A RESULT OF ECONOMIC GROWTH IN THE CONDITIONS OF INSTITUTIONAL AND STRUCTURAL CHANGES

At the current stage of its development, the world is in conditions of global digitalization, the events of recent years only accelerate technological processes. Advanced digital technologies are changing both the approach to the implementation of human life processes and the vector of socio-economic development of the country. The digital transformation of the economy affects all economic relations with the active use of modern ICT, and the well-being of the population is measured by the digital quality of life. The author analyzed the dynamics of changes in the ranking of individual countries of the world according to the Digital Quality of Life (DQL) Index in 2022–2023 and found that France and Finland became the leaders in 2023, while Ukraine took only 46th place. It has been established that the higher the GDP per capita, the higher the DQL Index, this is particularly evident in Western Europe, South America, Australia and New Zealand, and Northern Europe. It found that a country’s digital quality of life is affected by its access to the Internet and in 2023, the global trend shows increased Internet access, and people needed to work 11% less to afford fixed broadband Internet access. The article also examines the dynamics of changes in the rating of individual countries of the world for the development of e-security and e-infrastructure according to the DQL Index in 2022–2023, as a result of which it was found that Ukraine has positive dynamics towards the improvement of e-security. In order to improve the level of digital quality of life in Ukraine, it is proposed to create conditions for learning how to work with digital technologies and platforms; to form digital literacy of the country’s population; strengthen information security; support businesses in using modern digital business models.

PENGARUH MODEL BISNIS DIGITAL TERHADAP KINERJA USAHA MIKRO DAN KECIL SEKTOR KULINER DI KOTA PADANG: Efek Mediasi dari Pembaruan Bisnis

This study aims to empirically prove the effect of digital business models on the performance of Micro and Small Enterprises (MSEs) in Padang City and the role of business renewal in strengthening the relationship. A total of 170 MSEs in the culinary sector that have been digitized for at least two years and are domiciled in Padang City were used as research samples. Data were collected through distributing questionnaires, and data analysis was carried out using quantitative methods with path analysis. The results of hypothesis testing show that the digital business model has no direct significant effect on financial performance or non-financial performance. In contrast, business renewal has a positive and significant influence on financial performance and non-financial performance. In addition, digital business models also have a positive and significant effect on business renewal. The indirect effect of digital business models on financial performance through business renewal is significant, but its indirect effect on non-financial performance through business renewal is not significant. Overall, this study confirms the importance of business renewal in mediating the relationship between digital business models and MSEs' financial performance. Although the digital business model does not have a significant direct effect on financial and non-financial performance, it is not significant.

OPPORTUNITIES FOR INTEGRATION OF DIGITAL BUSINESS MODELS IN INTERGENERATIONAL BUSINESSES

In today‘s hyper-­digitalised world, continuity and collaboration between digital and traditional business models becomes a necessary and even mandatory condition for achieving competitiveness and success. This key emphasis also applies to intergenerational business initiatives, which have the potential to bring together the knowledge, experience and creativity of different generations in a win-win way for all stakeholders. The main objective of the present research is to analyse the benefits of integrating digital business models in the context of intergenerational entrepreneurial initiatives. In order to achieve the goal formulated in this way, fundamental definitions and characteristics of the concept of „digital business model“ have been derived, supported by the existing theoretical knowledge and practical experience of the authors of the report. In addition, basic types of business models developed primarily in a digital environment have been identified, and current examples from the field of digital entrepreneurship have been synthesised. The scope of the research includes the results of a survey conducted in 2023 at the University of Ruse „Angel Kanchev“ (Bulgaria), covering 581 students. This aspect of the study aims to illuminate students‘ readiness to engage in intergenerational entrepreneurial initiatives. The discussion is enriched with reduced potential opportunities for the capacity of digital business models to improve the performance of individual family business ventures innovatively. In this way, by combining traditional with digital, it is possible to construct a solid and integrated intergenerational entrepreneurial chain capable of preserving and building on existing values and experiences in a positive way.

Digital Financial Capability and Entrepreneurship in China: A Digital Economy Perspective

The digital economy is the fastest-growing sector in the world today, and will also be the key development direction of China in the future. The level of digital financial capability (DFC) determines whether households can fully embrace the inclusivity of digital finance and seize the business opportunities presented by the digital economy. Hence, we utilized panel data from the China Household Finance Survey (CHFS) and built a probit model with two-way fixed effects. The results revealed that DFC has a positive impact on household entrepreneurship through both supply- and demand-side mechanisms. The results also revealed that DFC has not only catalyzed the evolution of digital business models but has also enhanced the digital business performance of enterprises. The analysis of heterogeneity confirms that DFC can promote entrepreneurship in rural settings and in the retail and restaurant sectors. This research has important theoretical contributions and policy suggestions for governments to help them pay attention to the inclusive role of DFC in developing the digital economy.

Formation And Implementation Of Digital Transformation The Companies: A Conceptual Aspect

The concept of formation and implementation of digital transformation for the development of the company is considered. The article analyzes the digital transformation of a company as a process by which digital technologies are introduced into the digital economy and business to achieve fundamental changes. It has been found that the digital transformation of a company during its formation leads to changes in three areas: customer service quality, operational processes, and business models. At the same time, the digital transformation process requires coordination across the organization and involves a change in business culture. The author outlines approaches to the company’s work that can improve the quality of customer service, stimulate employee innovation, and drive the company’s growth at a fundamental level. At the same time, the most important task of the company’s CEO is to stimulate digital transformation at all levels of the company: in processes and procedures; organizational structures; development of digital marketing and sales; offering digital services and digital business models, etc. The need to support an innovative culture that focuses on what new digital technologies should be introduced and how best to integrate them into everyday life is emphasized. At the same time, the software will help companies implement digital innovation strategies. The following stages are recommended for implementing digital transformation in a company: business transformation; developing own strategy and organizational changes; breaking down barriers to change; developing own partner ecosystem; using a flexible approach; and financing. It is determined that digital technologies, as the basis of digital business, have been integrated with business and have become more than just hardware or software. As digital technologies become more pervasive and companies move further along the path of digital transformation, digital strategy and business strategy will converge. All of this requires a change in the company’s business culture. It is proposed that in the formation and implementation of digital transformation, the possibility of integration into the European Statistical System (ESS) should be considered as a means of increasing the visibility of digital transformation.

The Digital Economy: Opportunities and Difficulties Isamic Economy's Future

The advent of technical innovation and economic digitalization via social media platforms and shopping applications has an impact on community social and economic activity. The manual, traditional economic system has been replaced by a modern one. A basic definition of a digital economy is any economic output that uses multifunctional internet-based technologies applied in a variety of digital business models for products or services. The expansion of the Islamic economy's involvement in e-commerce must be promoted in order to support the rise of financing via the digital economy and the empowerment that comes with it. One approach that can be used to create halal product innovations that are popular on the digital economy platform is principle-based regulation. With this technology, one would anticipate that. The results of this study demonstrate that initiatives to support innovation, entrepreneurship, and economic expansion may present a chance to increase access, particularly to Islamic economic inclusion. The digital economy is also anticipated to serve as a platform for the exchange of knowledge about how to better public services, finance, or social services, as well as new technologies that could offer all societal levels first-rate, quick, and reasonably priced Islamic economic services while also enhancing the effectiveness and efficiency of economic activity.

Business model of international consulting: main characteristics and elements

Based on the analysis of the essence and modern types of business models of enterprises, the basic professional service business model of the international consulting "Consultant" and reveals its main characteristics is substantiates: the B2B model, the modification of the "Producer" business model, the integration of elements of service and digital business models, customer orientation. Based on the Business Model Canvas, the main components of the basic business model of international consulting are revealed: key partners: partner intra-service and inter-service networks of the consulting firm; key activity: providing professional assistance to business organizations in solving problems of international economic activity; key resources: intellectual human, organizational, market; value proposition: the value services of international consulting for the client; relations with clients: client orientation, client-centricity, positive client experience, cooperation between consultants and clients at all stages of the consulting process; channels: omnichannel, cross-channel communications; customer segments: target audiences, customer networks; cost structure; income streams. Client networks as a component of the basic business model of international consulting are characterized and measures to optimize them are disclosed: forming a loyal attitude of clients to the consulting firm, consultants, and services; accumulation and protection of a network of regular customers; forming a positive customer experience; improving the efficiency of consultant-client relations; development of omnichannel provision of professional assistance to clients; ensuring client orientation of the personnel of the consulting firm; management of the value and quality of consulting services; introduction of new consulting services and technologies based on consulting innovations.

Managing inter-organizational dependencies operation for discovering digital business model innovation in corporate innovation ecosystem

Managing inter-organizational dependencies operation for discovering digital business model innovation in corporate innovation ecosystem

Can sustainability orientation make firms more resilient? Exploring the role of digital business model innovation, digital orientation, and environmental dynamism

Can sustainability orientation make firms more resilient? Exploring the role of digital business model innovation, digital orientation, and environmental dynamism

A meaning-making perspective on digital ridesharing platforms in underdeveloped markets

PurposeThe digital platform-based sharing economy has become ubiquitous all over the world. In this paper, we explore how market actors’ conflicting interpretations of digital platforms’ business models give form and shape value co-creation and capture practices in contexts marked by weak institutions and underdeveloped markets.Design/methodology/approachIntegrating insights from the broader literature on digital platforms and the contemporary turn to “meaning-making” in social theory, we adopt a problematization method to unpack the collective contest over the interpretation of value co-creation and capture from ridesharing platforms in contexts marked by weak institutions and underdeveloped markets.FindingsCollective contest over the interpretation of digital business models may give rise to competing meanings that may enable (or impede) digital platform providers’ ability to co-create and capture value. We present an integrative framework that delineates how firms caught up in such collective contests in contexts marked by weak institutions and underdeveloped markets may utilise such conditions as marketing resources to reset their organising logic in ways that reconcile the conflicting perspectives.Practical implicationsThe paper presents propositions constituting a contribution to a meaning-making perspective on ridesharing digital platforms by offering insights into how digital business models could potentially be localised and adapted to address and align with the peculiarities of contexts. It goes further to present a theoretical model to extend our understanding of the different sources of contestation of meaning of digital platforms.Originality/valueThe meaning-making perspective on digital platforms extends our understanding of how the collective contest over interpretations of value co-creation and capture may offer a set of contradictory frames that yield possibilities for ridesharing platform providers, and their users, to assimilate the organising logic of digital business models into new categories of understanding.

Digital Transformation in the Era of Industry 4.0: Implications for Business Models and Operations

This paper explores the impact of digital transformation in the age of Industry 4.0 on business models and operations, with a specific focus on literature published between 2018 and 2024. The emergence of Industry 4.0 has brought about significant transformations in traditional business frameworks and operational processes. This is primarily due to the advancements in technologies such as the Internet of Things (IoT), artificial intelligence (AI), and big data analytics. This research explores various important topics, including the development of digital business models, the effects of new technologies on operational efficiency, and the long-term viability of digital transformation efforts. The findings indicate that in order to stay competitive and ensure long-term viability, businesses need to constantly innovate their models and strategically incorporate advanced technologies. The study highlights the significance of change management and organizational culture in enabling successful digital transformation. This paper offers a thorough examination of various sources, providing a well-rounded perspective on how businesses can effectively navigate the complexities of Industry 4.0. The insights gained from this research contribute to fostering a business environment that is flexible and capable of withstanding challenges.

Exploring the Impact of Digital Platforms on Publishing: A Bibliometric Analysis

Abstract Platformization is a phenomenon arising from the process of digitalization and affects businesses of all types throughout the world. While platformization closely relates to digital business models, it also influences the traditional models to some extent, concerning the marketing and distribution functions. This paper focuses on the implications of the new media on the generation, dissemination, and reception of content in publishing. Specifically, the study examines the effects and implications of the platformization processes, and the role played by digital ecosystems in the value chain of the publishing business and the structures of the book market. For the current study, the research carries out a network analysis of scholarly literature on the integration of digital platforms in publishing using VOSviewer. It declared to provide an understanding of the field’s conceptual directions, determine key articles, and depict the developmental process of this phenomenon. The paper contributes to the understanding of the primary discourses; the literature review reveals the research gaps and potential development. The contribution of this research shall be useful for both theorists and practitioners in the field. It can help practitioners analyze the current processes in the publishing industry’s transition to digital formats and inform policy decisions. It can also help small and medium companies within creative industries that possess characteristics that are akin to publishing and other businesses clustered within the book market niche category. Given that current trends and potential directions for development and innovation in today’s rapidly developing digital environment are traced and practical recommendations and further research questions are outlined in this study, it helps to get a detailed understanding of how platformization in the context of the publishing industry is addressed in the academic literature.

Mechanism of digital business model innovation for common prosperity: based on resource orchestration perspective

Purpose By exploring the microimplementation mechanism of common prosperity, this paper aims to offer a strategic direction for Chinese enterprises to achieve sustainable development. It also provides theoretical support and practical guidance for the Chinese Government in exploring feasible paths to common prosperity, starting from the enterprises. Design/methodology/approach This paper takes the digital business model innovation of Rainbow Planet as a case study, systematically explicating the mechanism through which digital business model innovation fosters common prosperity by constructing a research framework of “digital business model innovation-resource orchestration-common prosperity.” Findings First, from a microperspective, the role of enterprises in promoting common prosperity in China is confirmed. Second, based on the theory of resource orchestration, it is concluded that digital resources can generate three types of digital effects, such as association, interaction and feedback, through effective resource orchestration under the support of the value elements of the business model. Finally, this paper emphasizes that enterprises should take actions such as demand aggregation, trust building and relationship reshaping to connect with relevant stakeholders, so as to achieve the win-win purpose of improving enterprise competitiveness and deepening common prosperity. Originality/value For Chinese enterprises, linking their development with the overall welfare of society is an essential path to sustainable development. Enterprises can promote the integration of their development with social welfare in three aspects: enhancing the efficiency and innovation capability of digital operations, strengthening cooperation with stakeholders and advancing sustainable business models. For the Chinese Government, it is important to encourage enterprises to play a positive role in the fields of economy, environment and society. The government can promote excellent practices in digital innovation, social responsibility and environmental protection among enterprises by publicizing successful cases, inspiring more enterprises to follow suit.