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From Open Design to Open Strategy : Managing the Evolution of Crowdsourcing-Based Business Models

Author

Listed:
  • Thierry Burger-Helmchen

    (BETA - Bureau d'Économie Théorique et Appliquée - AgroParisTech - UNISTRA - Université de Strasbourg - Université de Haute-Alsace (UHA) - Université de Haute-Alsace (UHA) Mulhouse - Colmar - UL - Université de Lorraine - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Erica J. Siegel

    (Universidad de Antioquia = University of Antioquia [Medellín, Colombia])

Abstract

Creative firms build their competitive advantage on their ability to harness crowds. Such firms, however, often find themselves facing stiff competition as they race against their competitors to attract the largest crowds. In order to obtain economies of scale, these creative firms need to find ways to develop new and innovative ideas, which they can transform into action without increasing costs. As crowd size increases, the urge to offer a wider range of possibilities and involve crowds in the decision-making process pushes firms to make the shift from an open design to an open strategy-based business model. During this transitional period, which is marked by the growth of a firm's crowdsourcing platform, many elements of the firm's business model and governance practices must evolve. In this chapter, we examine the processes by which firms approach this transitional phase, focusing upon the management strategies firms employ in crowdsourcing-based business models in the period between the launch and adoption of a full open strategy…

Suggested Citation

  • Thierry Burger-Helmchen & Erica J. Siegel, 2020. "From Open Design to Open Strategy : Managing the Evolution of Crowdsourcing-Based Business Models," Post-Print hal-02927739, HAL.
    • Handle: RePEc:hal:journl:hal-02927739
    DOI: 10.1142/9789811219238_0004
    as

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    Keywords

    Creative firms; Economies of scale; Technological innovations; Management; Diffusion of innovations; Innovations technologiques;
    All these keywords.

    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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