The three faces of Business model innovation: Challenges for established firms

Peter A. Koen, Heidi M.J. Bertels, Ian R. Elsum

Research output: Contribution to journalArticlepeer-review

107 Scopus citations

Abstract

OVERVIEW: Business model innovation represents a significant opportunity for established firms, as demonstrated by the considerable success of Apple's iPod/iTunes franchise. However, it also represents a challenge, as evidenced by Kodak's failed attempt to dominate the digital photography market and Microsoft's difficulty gaining share in the gaming market, despite both companies' huge financial investments. We developed a business model innovation typology to better explain the complex set of factors that distinguishes three types of business model innovations and their associated challenges.

Original languageEnglish
Pages (from-to)52-59
Number of pages8
JournalResearch Technology Management
Volume54
Issue number3
DOIs
StatePublished - May 2011

Keywords

  • Breakthrough innovation
  • Business model innovation
  • Disruptive innovation
  • Radical innovation
  • Sustaining innovation
  • Value networks

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