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Relating business model innovations and innovation cascades: the case of biotechnology

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  • Jorge Niosi

    (Université du Québec à Montréal)

  • Maureen McKelvey

    (University of Gothenburg)

Abstract

This article conceptualizes innovation as a process, where the scientific and industrial application of technological knowledge nurtures new routines and institutions, in order to relate changing business model innovations to innovation cascades. Innovation in science-based, high-tech sectors is changing its tempo, from the evolutionary pace of incremental novelties punctuated by occasional radical novelties, to innovation cascades. These cascades involve a long series of interlinked radical innovations, which can be traced through various scientific and technological indicators like patents and publications. Innovation cascades are relevant to industry, because they make the future less predictable. They are particularly interesting because these changes also enable the testing an abundance of new business models. Innovation cascades have a major impact on the number and sustainability of business models and on strategy. Business model innovations are visible not only in the existing organizations that undergo change, but also new organizational models appear. The case of biotechnology after the 1980s is used to illustrate our conceptualization.

Suggested Citation

  • Jorge Niosi & Maureen McKelvey, 2018. "Relating business model innovations and innovation cascades: the case of biotechnology," Journal of Evolutionary Economics, Springer, vol. 28(5), pages 1081-1109, December.
    • Handle: RePEc:spr:joevec:v:28:y:2018:i:5:d:10.1007_s00191-018-0561-9
    DOI: 10.1007/s00191-018-0561-9
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    Cited by:

    1. Costa Climent, Ricardo & Haftor, Darek M., 2021. "Value creation through the evolution of business model themes," Journal of Business Research, Elsevier, vol. 122(C), pages 353-361.
    2. Seok-Soo KIM, 2021. "Sustainable Growth Variables by Industry Sectors and Their Influence on Changes in Business Models of SMEs in the Era of Digital Transformation," Sustainability, MDPI, vol. 13(13), pages 1-21, June.
    3. Changhyeon Song & Kwangsoo Shin, 2019. "Business Model Design for Latecomers in Biopharmaceutical Industry: The Case of Korean Firms," Sustainability, MDPI, vol. 11(18), pages 1-15, September.
    4. repec:aud:audfin:v:20:y:2018:i:49:p:616 is not listed on IDEAS
    5. Daniel Adrian Gârdan & Mihai Andronie & Iuliana Petronela Gârdan & Irina Elena Andronie & Mariana Iatagan & Iulian Hurloiu, 2018. "Bioeconomy Development and Using of Intellectual Capital for the Creation of Competitive Advantages by SMEs in the Field of Biotechnology," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 20(49), pages 647-647, August.
    6. Suenaga, Keiichiro, 2019. "The emergence of technological paradigms: The case of heat engines," Technology in Society, Elsevier, vol. 57(C), pages 135-141.
    7. repec:aud:audfin:v:20:y:2018:i:49:p:647 is not listed on IDEAS
    8. Hurmelinna-Laukkanen, Pia & Möller, Kristian & Nätti, Satu, 2022. "Orchestrating innovation networks: Alignment and orchestration profile approach," Journal of Business Research, Elsevier, vol. 140(C), pages 170-188.
    9. Alexandru –Mircea Nedelea & Marilena Mironiuc & Maria Carmen Huian & Mihaela B?rsan & Maria Viorica Bedrule-Grigoruta, 2018. "Modeled Interdependencies between Intellectual Capital, Circular Economy and Economic Growth in the Context of Bioeconomy," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 20(49), pages 616-616, August.

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    More about this item

    Keywords

    Innovation cascades; Biotechnology; Science-based industries; Technological trajectories; Path creation; Business models; Business model innovation;
    All these keywords.

    JEL classification:

    • L26 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Entrepreneurship
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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