Record Details

Development of Market-Driven Business Models in the IT Industry. How Firms Experiment with Their Business Models?

Journal of Business Models

View Archive Info
 
 
Field Value
 
Title Development of Market-Driven Business Models in the IT Industry. How Firms Experiment with Their Business Models?
 
Creator Zalewska-Kurek, Kasia
Kandemir, Selim
Englis, Basil G.
Englis, Paula Danskin
 
Subject Business models, IT
Business models, start-ups
 
Description Purpose: The purpose of this research is to explore the role of markets in the development of young entrepreneurial startups business models and their subsequent experimentation with business models. We focus on the demand-side to analyze how the market and (potential) customers can influence decisions to develop or innovate a firm’s business model. Design: Data were gathered from firms through interviews with open-ended questions about the evolution of their business model over time. Data were analyzed using the grounded theory method. Findings: Two themes emerged, one regarding engaging with the market and another concerning experimentation with business models and changes made after reviewing the situation on the market (firm’s responsiveness). Taken together, rm responsiveness and market engagement were used to establish four categories of rm types: passive, active, unfocused, and focused firms. We observe that experimenting with business models is high initially and diminishes over time. Practical Implications: Changing the business model is essential for success and survival. Firms will be able to take advantage of new opportunities and expand their products and services. Other firms may pivot into different market spaces than originally intended but by doing so rapidly decrease the time to market. Originality / Value: Our research fills a gap in the literature by exploring the role of markets in the development of young entrepreneurial IT startups’ business models over time. We propose a framework allowing an analysis of business model innovation in different stages of a firm’s development. 
 
Publisher Aalborg Universitetsforlag
 
Contributor —
 
Date 2017-05-23
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
grounded theory, interviews
 
Format application/pdf
 
Identifier http://journals.aau.dk/index.php/JOBM/article/view/1879
10.5278/ojs.jbm.v4i3.1879
 
Source Journal of Business Models; Vol 4, No 3 (2016): Special Issue: New Ways of Developing and Analyzing Business Model Innovation
2246-2465
 
Language eng
 
Relation http://journals.aau.dk/index.php/JOBM/article/view/1879/1457
 
Rights Copyright (c) 2017 Journal of Business Models