Business Model Innovation Research Articles

Meta: XR-AR-MR and Mirror World Technologies Business Impact of Metaverse

Metaverse offers opportunities for companies to create innovative business models by providing a virtual platform where they can sell products and services and interact with customers in new and unique ways. Extended Reality (XR), Augmented Reality (AR), Mixed Reality (MR) and Mirror World technologies are important technological pathways for the metaverse. The metaverse concept is changing organizational structures with new opportunities and shaping the workforce for the future environment. The purpose of this review article is to discuss the concept of metanomics, the business implications of the metaverse in the context of the economy, business and employee-based value, future workforce, B2B opportunities and new business models. The concept of metaptation was associated with the metaverse in later studies to be conceptualized within the framework of adaptation theory. This review concludes by asserting that as the metaverse continues to evolve, driven by advancements in XR, AR, MR, and Mirror World technologies, it will not only revolutionize traditional business models but also necessitate a new paradigm of metaptation, where businesses must continuously adapt to harness the full potential of the metaverse in the realms of economic growth, innovative B2B opportunities, workforce development, and customer engagement. In order to be successful in this dynamic change process, businesses should adopt a strategic approach to adopting these innovative technologies. These strategic steps of businesses will contribute to gaining competitive advantage by enabling them to make the most of the commercial potential of the Metaverse.

The Effect of Business Mentoring, Business Model Innovation, and Social Media Use on Entrepreneurial Performance in Bogor

Keywords: This research investigates the impact of business mentoring, business model innovation, and social media use on the entrepreneurial performance of small and medium enterprises (SMEs) in Bogor. Utilizing a quantitative approach, data were collected through surveys administered to 200 SMEs operating in various sectors. The study employs multiple regression analysis to assess the relationships between the independent variables (business mentoring, business model innovation, and social media use) and the dependent variable (entrepreneurial performance). The findings reveal that all three factors significantly and positively influence entrepreneurial performance. Business mentoring provides essential guidance and support, fostering skill development and strategic planning. Business model innovation encourages adaptability and competitiveness, leading to enhanced business outcomes. Social media use offers effective marketing channels and customer engagement, further driving business success. These insights underline the importance of comprehensive support systems for entrepreneurs, suggesting that policies promoting mentorship programs, innovation practices, and digital literacy can substantially benefit the SME sector in Bogor.

Role of IIoT as New Business Model Innovation in the Manufacturing Industry

The manufacturing Industry in Europe plays a significant role in economic growth and development. Given the increased role of technology in this sector, the Industrial Internet of Things (IIoT) is one of the technological advancements that improve the Business Model (BM) efficacy in various manufacturing industries. However, research into the role of IIoT as a BM in the manufacturing industry is limited despite its contribution to the success and performance of the firms. Therefore, this study explores the role that IIoT plays as a BM in various manufacturing industries. A survey was conducted utilizing open-ended questionnaires across 60 manufacturing firms in Europe including automotive suppliers, information and communication, machine and plant engineering, electrical engineering, and medical engineering. The findings indicate that IIoT as a BM has different levels of contribution across the manufacturing industry with glaring variations in terms of performance between information and communication firms as well as automotive. This study can act as a guideline for further research on the complex relationship between IIoT as a BM and firms’ performance to influence decision-making processes within the manufacturing industry. Given that this is a pre-study, the limitations, and recommendations for future research are highlighted.

Green Technology Opportunities and Challenges in Sustainable Marine Logistics

The maritime logistics sector plays an important role in supporting global trade, but also contributes to significant greenhouse gas emissions and environmental impacts. To overcome these challenges, the adoption of green technologies is becoming increasingly important in achieving sustainable maritime logistics. This research aims to explore the opportunities and challenges of implementing green technology in the maritime logistics industry. Through literature studies, interviews with stakeholders, and case studies, this research identifies three main opportunities, namely reducing emissions and environmental impacts, operational efficiency and cost savings, as well as regulatory compliance, and improving company reputation. However, significant challenges were also identified, including high initial investment costs, lack of supporting infrastructure, regulatory barriers, and limited incentives. To overcome this challenge, collaboration between government, industry, financial institutions, and civil society is needed to develop a comprehensive regulatory framework, provide incentives, and facilitate investment in supporting infrastructure. Further research is also needed to analyze the environmental impacts and life cycle costs of different green technologies, as well as explore innovative business models and funding strategies. The transition towards green and sustainable maritime logistics is not only important to preserve the environment, but also to ensure long-term economic and social sustainability.

Barriers to Digital Transformation in SMEs: Insights from a Bibliometric Analysis

This paper presents a comprehensive bibliometric analysis of the current research landscape concerning digital transformation in Small and Medium-sized Enterprises (SMEs). Through a series of VOSviewer visualizations, we identify major thematic clusters, emerging research trends, unexplored opportunities, and patterns of author collaboration within the field. Our findings reveal a strong initial focus on crisis management in response to the COVID-19 pandemic, which gradually shifted towards long-term strategic issues such as business model innovation, digitalization strategies, and international market expansion. The analysis highlights under-researched areas including specific business processes and implications of digital transformation in the manufacturing sector, suggesting fruitful avenues for future research. Additionally, the study maps the collaboration networks among scholars, uncovering both strong interconnections and potential gaps that offer opportunities for new scholarly partnerships. This paper contributes to the strategic knowledge on digital transformation in SMEs by outlining the evolution of research themes over time and suggesting directions for future research collaborations to enhance the digital resilience and competitiveness of SMEs.

Navigating external knowledge sources: impacts on business model innovation and competitive advantage in start-ups

ABSTRACT Business model innovation (BMI) is considered a requirement for start-ups that source knowledge externally to counter resource constraints. We test the inter-relationships among two sources (research and support actors) of external knowledge (EKa), BMI, and competitive advantage (CA). We find that EK from research and support actors positively contributes to BMI, which positively affects CA. However, while EK from research actors has a positive relationship with CA, we find that EK from support actors has a negative direct effect on CA. This article thus highlights that not all EK helps start-ups in building a CA, thereby contributing to the literature on BMI, knowledge-based view, and entrepreneurial ecosystems in the specific context of start-ups. Practitioners can advance their understanding of the impact of different sources of EK (research and support actors) on start-ups. This paper advises start-up founders and managers to focus their resources on gaining knowledge from research actors.

WonderWoods Online Furniture Website

Abstract: This research paper investigates the emerging trend of Furniture websites, examining their impact on the interior design, consumer behavior, and environmental sustainability. The study aims to provide a thorough literature review, propose a conceptual model for Custom Furniture platform, and offer insights into the future of this innovative business model. The objectives of the study include analyzing WonderWoods user interface and navigation on system, assessing the range, quality, and pricing of its furniture products, evaluating ng the effectiveness of its marketing strategies, exploring customer satisfaction on levels and post-purchase experiences, and identifying areas for improvement. The qualitative analysis revealed several key dimensions of UX, including website aesthetics, navigation ease, product presentation, and checkout process efficiency. Keywords: WonderWoods is a Custom furniture making platform that offers a sustainable and stylish way to design your house.

Rental Clothing site (THE BORROW TREND)

Abstract – This research paper investigates the emerging trend of clothing rental websites, examining their impact on the fashion industry, consumer behavior, and environmental sustainability. The study aims to provide a thorough literature review, propose a conceptual model for clothing rental platforms, and offer insights into the future of this innovative business model. The creation of a business model that addresses the need for affordable clothing options, particularly for special occasions like weddings. The project aims to offer a solution for individuals from lower and middle-class backgrounds who find it challenging to purchase expensive attire for events due to high costs and limited utility. By introducing a rental clothing service called “Rent Attire,” the project targets a wide audience, including lower, middle, and upper classes, with a focus on providing various styles of clothing for different occasions. The long-term goal is to become a leader in the rental clothing industry, expanding services to include event organization like weddings. Marketing strategies involve advertising in magazines, social media, and television, along with offering discounts to attract and retain customers. The project emphasizes customer satisfaction, with plans to open stalls in universities and expo centers to reach a broader market. The business model includes physical stores for order placement and rental charges based on the completion of orders. Overall, the project aims to fill a market gap by providing affordable and stylish clothing options for various customer segments, with a focus on convenience and customer service. Keywords – Rental clothing-business model,Fashion business plan, Marketing analysis, Customer need, Managing customers, Search engine optimization (SEO), Custom HTML page templates.

Revenue stacking of BESSs in wholesale and aFRR markets with delivery guarantees

Battery Energy Storage Systems (BESSs) provide a crucial solution for mitigating the challenges posed by renewable energy intermittency, concurrently driving down energy costs within wholesale markets. To harness their potential, innovative business models are required for optimal BESS operation and revenue maximisation. This paper addresses this need by proposing a novel revenue stacking approach for the participation in Day-Ahead and automatic Frequency Restoration Reserve (aFRR) markets. By considering the uncertainty in the activation of aFRR events, the proposed model provides real-time delivery guarantees for a given reliability level, while maximising the revenues. The model is built over a novel characterisation of the uncertainty and a tight reformulation of the joint chance-constraints that drive energy and capacity guarantees. The effectiveness of the proposed approach is demonstrated through a case study based on real data from the Belgian market, yielding a 17.3% increase in profits over the individual chance-constraints approach.

Implementation of Smart Toilets as An Innovative Business Model in Public and Private Institutions

Implementation of Smart Toilets as An Innovative Business Model in Public and Private Institutions

Digital and International Growth Hacking Business Models: Born Globals, Born Digitals, and Synergies

This research delves into growth hacking models embraced by Born Digitals, Born Globals, and other firms, emphasizing the dynamic interplay between innovation and internationalization. Despite their unique origins and focuses, these concepts frequently intersect in business strategies, models, and entrepreneurial pursuits. Growth hacking models can be conceptually categorized based on the degree of digital innovation and the scope of business, whether local or global. This study underscores the pivotal role of growth hacking across diverse company profiles, transcending the domain of Born Digitals reliant on digital platforms. Various strategic pathways within each company's business model showcase diverse innovation routes to achieving growth and global presence. The analysis accentuates the importance of hybridity or synergistic approaches in growth hacking business model innovation within today's market landscape, offering valuable managerial insights for growth-oriented companies from their inception. It advocates for companies to embrace innovative and international strategies for enduring success, while judiciously balancing considerations of scalability and profitability against novelty and efficiency in business model design.

How do academic smart city centres operate in complex environments? A business model perspective

In recent years, an increasing number of academic smart city centres have emerged globally. These centres play a crucial role in conducting cutting-edge research and proposing innovative solutions for cities; they often operate in a complex multi-purpose, multi-disciplinary, and multi-stakeholder environment, even as they struggle to secure enough resources for their core activities. Despite their important role in smart city projects and initiatives, we lack scientific understandings of how smart city centres generate and deliver value to city stakeholders. As a first step in addressing this gap, we studied seven smart city centres across Europe and North America through in-depth interviews. To complement those interviews, we conducted an online survey and collected responses from a larger sample of centres from several regions around the world. Consequently, we provide a fresh understanding of how these centres orchestrate their operations and capabilities to create and deliver value to smart city stakeholders. Inspired by recent research on business model innovation for non-profit organizations, we argue that academic centres can benefit from using business models to align their operations with their strategies to achieve their goals. Our study contributes to smart city and business model research while providing practical implications for smart city centres.

Business Model Innovation and Corporate Competitive Advantages in the Digital Economy Era

In the digital economy era, enterprises face unprecedented challenges and opportunities driven by the rapid advancement of digital technologies. To thrive in this dynamic environment, enterprises must continuously innovate their business models to create and capture value in new ways. This paper explores the relationship between business model innovation and corporate competitive advantage in the context of digital transformation. Drawing on the resource-based view, dynamic capabilities framework, and other theoretical perspectives, this paper examines the characteristics, mechanisms, and strategies of business model innovation in the digital age. Through a comprehensive literature review and analysis of representative cases, we identify three key trends shaping business model innovation: digitalization, platformization, and intelligentization. We argue that enterprises need to leverage these trends to design customer-centric value propositions, build digital capabilities, construct open and collaborative value networks, and foster an agile and innovative organizational culture. Our findings highlight the importance of value creation, value capture, and value network effects in driving competitive advantage through business model innovation. We propose a framework that integrates these mechanisms with the core components of business models, providing a holistic and systemic view of business model innovation in the digital economy. We also discuss the implications of our research for theory and practice, emphasizing the need for further studies on the dynamics and outcomes of business model innovation in different contexts and industries. This paper contributes to the growing literature on business model innovation and competitive strategy in the digital age. By bridging the gaps between different theoretical perspectives and providing actionable insights for practitioners, we aim to advance the understanding and application of business model innovation as a key driver of corporate competitive advantage. Our research suggests that enterprises that can effectively align their business models with the evolving digital landscape will be better positioned to create and sustain superior performance in the face of increasing complexity and uncertainty.

Innovation of the finished banknotes business model changes in Indonesian banknotes printing

Perum Peruri, as a state-owned banknote printing company, needs to do business model innovation to anticipate change in printing regulation by Bank Indonesia (BI). The finished banknotes business model is the submission of the entire process to provide end-to-end Rupiah. This research analyzes the impact of business model banknotes printing changing into finished banknotes against Perum Peruri. Data were collected through in-depth interviews with experts and distributing questionnaires to 44 respondents working at this company. Business Model Canvas (BMC) and Resources Based View (RBV) were used to identify business models and the internal resources required for the implementation process. Therefore, six elements in BMC were used to conduct changes, and based on the results RBV analysis, four sources of internal resources were found at the Unused Competitive Advantages (UCA) level and two at the Temporary Competitive Advantages (TCA) level. This company must develop source power inner to the level of Sustainable Competitive Advantages (SCA) to mitigate changes. Further research need to be conducted on the ability of the business model to impact changes in the banknotes printing industry.

Probing the impact of intellectual capital on SME efficiency: the role of business model innovation

PurposeThis study explores the mechanism by which intellectual capital (IC) [i.e. human capital (HC), structural capital (SC) and relational capital (RC)] influences small and medium-sized enterprise (SME) efficiency in the presence of business model innovation (BMI) as a mediator.Design/methodology/approachData collection is conducted through a survey completed by 319 owners and top managers of SMEs operating in the manufacturing sector in three cities in Pakistan. A simple random sampling method is used. A structural equation modeling artificial neural network (SEM-ANN)-based approach is applied to evaluate the role of IC predictors. The mediation results are authenticated using PROCESS.FindingsThe results indicate that HC, SC and RC significantly influence SME efficiency and BMI. Furthermore, BMI fully mediates the relationship between human capital and SME efficiency, while partially mediating the relationship between structural capital and SME efficiency, as well as between SC and SME efficiency.Originality/valueThis study pioneers research into the link between IC and SME efficiency. It contributes to the literature by defining IC as an antecedent of SME efficiency. It further contributes to the literature by defining IC as an antecedent and BMI as an intervening variable of SME efficiency.

Weathering the Unforeseen: The Interplay of Resilience and Innovation in Start-Up Performance Amidst Crisis

ABSTRACT Understanding entrepreneurial dynamics during crises increasingly gains scholars’ and practitioners’ attention, highlighting the adaptability and innovation inherent in entrepreneurial ventures. This study investigates the intertwined role of organizational resilience (OR) and business model innovation (BMI) on the performance of startups amidst the COVID-19 pandemic using data from 258 start-ups in Tanzania. It employs a stepwise multiple regression analysis to assess the moderating effect of BMI on the relationship between OR and the start-ups’ performance. The findings suggest that service sector startups exhibited higher performance than those in manufacturing and merchandising. The results show that startups that actively participate in BMI exhibited greater resilience and outperformed their counterparts during the pandemic. The study underscores the imperative for startups to consistently innovate their business models to maintain their competitiveness and success during disruptive moments.

Cradle-to-cradle business model tool: Innovating circular business models for startups

Born circular startups play a pivotal role in implementing high-level circularity to fight resource depletion and address climate change. In developing circular business model innovation, circular startups face the challenge of lacking legitimacy, which can be approached by certifications provided by concepts like Cradle-to-Cradle. As there is currently no supporting tool to develop such business models, this paper employs a design science research approach and proposes a Cradle-to-Cradle (C2C) Business Model Tool. The tool is developed based on a literature review, feedback from 42 users in six demonstration workshops and is finally tested with eight startups. It succeeds in aiding born circular startups in navigating the venturing process with a focus on high-level circularity. In this paper, C2C principles developed for the product level are theoretically linked to the business model level. The tool addresses elements such as partnerships, communication, and action-taking, thereby contributing to the literature on circular business model innovation and serving as a practical resource for born circular startups.

Cognitive analytics enabled responsible artificial intelligence for business model innovation: A multilayer perceptron neural networks estimation

Cognitive analytics employs and analyses complex and heterogeneous data sources generating deeper insights that mimic the natural intelligence of the human brain. Cognitive analytics-enabled Artificial Intelligence (AI) that promotes Business Model Innovation (BMI) for the efficiency of the healthcare system is a nascent and undertheorized domain. Within the healthcare management systems, stakeholders’ engagement with AI, particularly with responsible AI, to optimize BMI and improve business performance is bounded by several caveats. Using the Technology Acceptance Model (TAM) and Social Network Theory (SNT) as our conceptual foci, we empirically examine through the Multilayer Perceptron Neural Network the extent to which responsible AI leads to Business Model Innovation (BMI) through the stakeholders’ engagement. Our contributions are novel which demonstrate that cognitive analytics-enabled responsible AI is central to innovation, and healthcare stakeholders exhibit a robust propensity to reorientate and innovate their existing BMI to achieve improved business performance. It has significant implications for innovation, AI and cognitive analytics literature.

Business model innovation for reducing uncertainty in sustainability transitions: A case study of the wood construction industry

Sustainability transitions are a significant challenge that requires established industries to adopt innovative ways of doing business. Research suggests that while this is possible through business model innovation (BMI), risk avoidance by regime actors and high levels of future uncertainty act as barriers to successful transitions. Specifically, we lack knowledge about how established companies innovate their business model (BM) to reduce uncertainty related to sustainability transitions. We explore the case of a large forest‐based manufacturing company in the construction industry, Stora Enso. We find that, by pursuing transformative BMI and combining multiple value creation logics, a company can reduce different types of uncertainty while shaping its business ecosystem towards more sustainable opportunities. We show that the BM can serve as an organizational tool for collectively exploring new knowledge, reducing uncertainty and driving change in a business ecosystem.

Industry 4.0 and sustainability: the case of the Italian textile district of Prato

PurposeThe purpose of this paper is to analyze the twin transition of textile firms operating in an industrial district. The twin transition comprises two interconnected but distinct processes: the sustainable transition and the digital transition. The study specifically considers sustainability goals in terms of the triple bottom line and digitalization as the adoption of Industry 4.0 (I4.0) technologies. The study aims to understand how the characteristics of Italian districts influence the choices related to the twin transition and how it affects textile industrial firms.Design/methodology/approachThe author conducts a multiple-case study involving five firms of industrial textile district of Prato.FindingsThe results show the relationship between the characteristics of the district, such as fragmentation of the supply chain, lean manufacturing, territorial proximity and attachment to origins and traditions and the sustainable goals and I4.0 technologies adoption. Moreover, the study proposes a framework for twin transition. Market and technology drive the process in which sustainability represents the aim, I4.0 serves as enablers and the relevant outcome is the implementation of the business model innovation.Practical implicationsThese findings offer valuable insights for textile firms, policymakers and stakeholders seeking to navigate the complexities of twin transition.Originality/valueThe study contributes to the broader topic of twin transition. In particular, it links the particular context represented by the industrial district in which the textile firms operate to their conduct, and the two interconnected and distinct processes, sustainable transition and digital transition, with the business model innovation topic.