Carving out new business models in a small company through contextual ambidexterity: the case of a sustainable company

Business model innovation (BMI) and organizational ambidexterity have been pointed out as mechanisms for companies achieving sustainability. However, especially considering small and medium enterprises (SMEs), there is a lack of studies demonstrating how to combine these mechanisms. Tackling such a gap, this study seeks to understand how SMEs can ambidextrously manage BMI. Our aim is to provide a practical artifact, accessible to SMEs, to operationalize BMI through organizational ambidexterity. To this end, we conducted our study under the design science research to, first, build an artifact for operationalizing contextual ambidexterity for business model innovation. Then, we used an in-depth case study with a vegan fashion small e-commerce to evaluate the practical outcomes of the artifact. Our findings show that the company improves its business model while, at the same time, designs a new business model and monetizes it. Thus, our approach was able to take the first steps in the direction of operationalizing contextual ambidexterity for business model innovation in small and medium enterprises, democratizing the concept. We contribute to theory by connecting different literature strands and to practice by creating an artifact to assist managemen

Networking Innovation in the European Car Industry : Does the Open Innovation Model Fit?

The automobile industry is has entered an innovation race. Uncertain technological trends, long development cycles, highly capital intensive product development, saturated markets, and environmental and safety regulations have subjected the sector to major transformations. The technological and organizational innovations related to these transformations necessitate research that can enhance our understanding of the characteristics of the new systems and extrapolate the implications for companies as well as for the wider economy. Is the industry ready to change and accelerate the pace of its innovation and adaptability? Have the traditional supply chains transformed into supply networks and regional automobile ecosystems? The study investigates the applicability of the Open Innovation concept to a mature capital-intensive asset-based industry, which is preparing for a radical technological discontinuity - the European automobile industry - through interviewing purposely selected knowledgeable respondents across seven European countries. The findings contribute to the understanding of the OI concept by identifying key obstacles to the wider adoption of the OI model, and signalling the importance of intermediaries and large incumbents for driving network development and OI practices as well as the need of new competencies to be developed by all players.Peer reviewe

Absorptive Capacity: One Size Fits All? Firm-level Analysis of Absorptive Capacity for Different Kinds of Knowledge

The paper empirically analyses the effect of R&D activities, human resource and knowledge management, and the organisation of knowledge sharing within a firm on the absorptive capacity of innovative firms for three different types of knowledge, namely absorptive capacity to use knowledge from a firm?s own industry, knowledge from other industries and knowledge from research institutions. Using data from the German innovation survey we investigate how firms are able to exploit knowledge from external partners for successful innovation activities. The estimation results show that the determinants of absorptive capacity differ with respect to the type of knowledge absorbed for innovation activities. In particular we find that the R&D intensity does not significantly influence absorptive capacity for intra- and inter-industry knowledge. Additionally, our results suggest that absorptive capacity is path-dependent and firms can influence their ability to exploit external knowledge by encouraging individuals? involvement in a firm?s innovation projects. --absorptive capacity,R&D,innovation management,innovation survey

Absorptive Capacity – One Size Fits All? A Firm-level Analysis of Absorptive Capacity for Different Kinds of Knowledge

The paper empirically analyses the effect of R&D activities, human resource and knowledge management, and the organisation of knowledge sharing within a firm on the absorptive capacity of innovative firms for three different types of knowledge, namely absorptive capacity to use knowledge from a firm’s own industry, knowledge from other industries and knowledge from research institutions. Using data from the German innovation survey we investigate how firms are able to exploit knowledge from external partners for successful innovation activities. The estimation results show that the determinants of absorptive capacity differ with respect to the type of knowledge absorbed for innovation activities. In particular we find that the R&D intensity does not significantly influence absorptive capacity for intra- and inter- industry knowledge. Additionally, our results suggest that absorptive capacity is path-dependent and firms can influence their ability to exploit external knowledge by encouraging individuals’ involvement in a firm’s innovation projects.absorptive capacity, R&D, innovation management, innovation surveys

The Chemical Sector al System. Firms, markets, institutions and the processes of knowledge creation and diffusion

According to the Sectoral Systems of Innovation and Production approach, the analysis of a specific sector has to describe its knowledge and technological base, existing complementarities among knowledge, technologies and products, the heterogeneity of agents, their learning processes and competencies, the role of non-firm organisations, and the presence of (co)evolutionary processes. This study applies this theoretical framework to the chemical industry, and examines evolution and co-evolution processes that have characterised this industry over its 200 years history. It emerges a strong dichotomy in industry dynamics. On the one hand, big discontinuities can be observed in knowledge and technological dimensions, which implied a major change in industry structure and a growing division of labour at the industry level. On the other hand, a big continuity can be observed as well, mainly in companies life. Indeed, one important feature of the chemical industry is that between small and large companies, markets, research institutions and other organisations there has been a continuous process of co-evolution, with firms playing the central role within the chemical system.Chemical Industry, Industry Dynamics, Networks, Markets for Technology, Division of Innovative Labour, Networks of Inventors, Patents, Technology Licensing.

Snow Removal Auctions in Montreal: Costs, Informational Rents, and Procurement Management

Using semiparametric and nonparametric estimation techniques we infer cost distributions and informational rents from 457 snow removal contracts o¤ered for tender by the City of Montreal. Our results are compatible with standard received theory of competitive auctions: there is a positive correlation between costs and bids, and rents increase with the variance of costs. Bids and costs have decreased over the sample period while rents remained relatively constant. The City deserves credit for these results, as it has succeeded in exploiting economies of scale and triggering innovations while maintaining competition. Further, it has been successful in adjusting its reserve prices to keep up with the decreasing cost of snow removal.microeconomics ;

Business models for industrial symbiosis: A guide for firms

Industrial symbiosis (IS) is a collaborative approach concerning physical exchange of materials, energy, and services among different firms: accordingly, wastes produced by a given firm are exploited as inputs by other firms. This approach is able to generate economic and environmental benefits at the same time, the former for the involved firms and the latter for the collectivity as a whole. For these reasons, the implementation of IS is largely recommended. However, despite its huge potentialities, the IS approach seems to be actually underdeveloped and not fully exploited. Firms without any prior experience of IS exchanges suffer from lack of awareness about how to integrate the IS practice into their current business models and how to gain economic benefits from IS. Since the willingness to obtain economic benefits is the main driver pushing firms to implement the IS practice, this issue constitutes an important barrier to the development of new IS relationships. In this paper, we contribute to this issue by identifying the different business models that each firm can adopt to implement the IS approach. In particular, we identify several business models for both firms producing waste and firms requiring waste. For each model, we highlight how firms can create and get economic value from IS. Moreover, from the interaction among firms, each of them implementing its own business model, several business scenarios at inter-firm level can arise. These scenarios are also presented: for each of them, strengths and weaknesses are identified and a short case study is discussed. The identified models can be useful at the company level since they provide indications about how to integrate the IS approach within their current business model

Redesigning Information Resources for Digital Natives

The influx of Digital Natives into higher education, combined with the introduction of virtual learning environments as the primary means of interaction between students and universities, will have a transformational effect on learning and on library services. This paper examines the e-book market-place and the main UK responses to it (the Southern Universities Purchasing Consortium’s tender and the JISC E-Books Observatory project). Within this context the innovative measures already taken by Bournemouth University are discussed, as are plans to develop innovative pedagogic frameworks and an e-reading strategy through a Higher Education Academy-funded pathfinder project, Innovative E-Learning with E-Resources (eRes)