IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v155y2023ipas0148296322008153.html
   My bibliography  Save this article

Understanding business model development through the lens of complexity theory: Enablers and barriers

Author

Listed:
  • Vatankhah, Sanaz
  • Bamshad, Vahideh
  • Altinay, Levent
  • De Vita, Glauco

Abstract

A winning business model is the key to business success in today’s fragmented market environment. However, businesses need to develop their business models overtime to meet the requirements of environmental uncertainties and shifts surrounding the business. Drawing on complexity theory and its related concept of hierarchy, this study advances a systematic approach to theoretically investigate the factors that favourably or adversely affect business model development (BMD), in a hierarchical order. In particular, multiple fuzzy multi-criteria decision making techniques were applied to develop the list of enablers of and barriers to BMD, to determine the priorities among enablers, and to determine the significance of barriers with respect to the main enablers of BMD. The results reveal that organizational form is the most salient enablers of BMD, while type II barriers are the most significant barriers, challenging the development of business models. Implications and future research directions are also provided.

Suggested Citation

  • Vatankhah, Sanaz & Bamshad, Vahideh & Altinay, Levent & De Vita, Glauco, 2023. "Understanding business model development through the lens of complexity theory: Enablers and barriers," Journal of Business Research, Elsevier, vol. 155(PA).
  • Handle: RePEc:eee:jbrese:v:155:y:2023:i:pa:s0148296322008153
    DOI: 10.1016/j.jbusres.2022.113350
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296322008153
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.jbusres.2022.113350?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Joshan, Saeid & Maertens, Sven, 2020. "Low cost carriers in the Middle East and North Africa (MENA) region: Emergence and barriers to development," Journal of Transport Geography, Elsevier, vol. 87(C).
    2. Jan W. Rivkin & Nicolaj Siggelkow, 2003. "Balancing Search and Stability: Interdependencies Among Elements of Organizational Design," Management Science, INFORMS, vol. 49(3), pages 290-311, March.
    3. Matthew S. Wood & Leslie E. Palich & Russell E. Browder, 2019. "Full Steam Ahead or Abandon Ship? An Empirical Investigation of Complete Pivot Decisions," Journal of Small Business Management, Taylor & Francis Journals, vol. 57(4), pages 1637-1660, October.
    4. Jim Dewald & Frances Bowen, 2010. "Storm Clouds and Silver Linings: Responding to Disruptive Innovations Through Cognitive Resilience," Entrepreneurship Theory and Practice, , vol. 34(1), pages 197-218, January.
    5. Raj, Alok & Mukherjee, Abheek Anjan & de Sousa Jabbour, Ana Beatriz Lopes & Srivastava, Samir K., 2022. "Supply chain management during and post-COVID-19 pandemic: Mitigation strategies and practical lessons learned," Journal of Business Research, Elsevier, vol. 142(C), pages 1125-1139.
    6. Bohnsack, René & Pinkse, Jonatan & Kolk, Ans, 2014. "Business models for sustainable technologies: Exploring business model evolution in the case of electric vehicles," Research Policy, Elsevier, vol. 43(2), pages 284-300.
    7. Philip Anderson, 1999. "Perspective: Complexity Theory and Organization Science," Organization Science, INFORMS, vol. 10(3), pages 216-232, June.
    8. Lai, Yi-Ling & Ishizaka, Alessio, 2020. "The application of multi-criteria decision analysis methods into talent identification process: A social psychological perspective," Journal of Business Research, Elsevier, vol. 109(C), pages 637-647.
    9. Esben Rahbek Gjerdrum Pedersen & Wencke Gwozdz & Kerli Kant Hvass, 2018. "Exploring the Relationship Between Business Model Innovation, Corporate Sustainability, and Organisational Values within the Fashion Industry," Journal of Business Ethics, Springer, vol. 149(2), pages 267-284, May.
    10. Albers, Sascha & Daft, Jost & Stabenow, Sebastian & Rundshagen, Volker, 2020. "The long-haul low-cost airline business model: A disruptive innovation perspective," Journal of Air Transport Management, Elsevier, vol. 89(C).
    11. Wenhong Zhao & Te Yang & Karen D. Hughes & Yixin Li, 2021. "Entrepreneurial alertness and business model innovation: the role of entrepreneurial learning and risk perception," International Entrepreneurship and Management Journal, Springer, vol. 17(2), pages 839-864, June.
    12. Alexander McKelvie & Johan Wiklund, 2010. "Advancing Firm Growth Research: A Focus on Growth Mode Instead of Growth Rate," Entrepreneurship Theory and Practice, , vol. 34(2), pages 261-288, March.
    13. Mark Loon & Lilian Otaye‐Ebede & Jim Stewart, 2020. "Thriving in the New Normal: The HR Microfoundations of Capabilities for Business Model Innovation. An Integrated Literature Review," Journal of Management Studies, Wiley Blackwell, vol. 57(3), pages 698-726, May.
    14. Andreja Pucihar & Gregor Lenart & Mirjana Kljajić Borštnar & Doroteja Vidmar & Marjeta Marolt, 2019. "Drivers and Outcomes of Business Model Innovation—Micro, Small and Medium-Sized Enterprises Perspective," Sustainability, MDPI, vol. 11(2), pages 1-17, January.
    15. Yasmin, Mariam & Tatoglu, Ekrem & Kilic, Huseyin Selcuk & Zaim, Selim & Delen, Dursun, 2020. "Big data analytics capabilities and firm performance: An integrated MCDM approach," Journal of Business Research, Elsevier, vol. 114(C), pages 1-15.
    16. Gianvito Lanzolla & Constantinos Markides, 2021. "A Business Model View of Strategy," Journal of Management Studies, Wiley Blackwell, vol. 58(2), pages 540-553, March.
    17. Nicolau, Juan Luis & Santa-María, María Jesús, 2012. "Effect of innovation on airlines' operating leverage: A Spanish case study," Journal of Air Transport Management, Elsevier, vol. 25(C), pages 44-46.
    18. Bouzon, Marina & Govindan, Kannan & Rodriguez, Carlos M.Taboada & Campos, Lucila M.S., 2016. "Identification and analysis of reverse logistics barriers using fuzzy Delphi method and AHP," Resources, Conservation & Recycling, Elsevier, vol. 108(C), pages 182-197.
    19. Paul Cilliers, 2001. "Boundaries, Hierarchies And Networks In Complex Systems," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 5(02), pages 135-147.
    20. Jesús Cambra-Fierro & Lily (Xuehui) Gao & Iguácel Melero-Polo & Lia Patrício, 2022. "Theories, constructs, and methodologies to study COVID-19 in the service industries," The Service Industries Journal, Taylor & Francis Journals, vol. 42(7-8), pages 551-582, June.
    21. Kanghwa Choi & DonHee Lee & David Olson, 2015. "Service quality and productivity in the U.S. airline industry: a service quality-adjusted DEA model," Service Business, Springer;Pan-Pacific Business Association, vol. 9(1), pages 137-160, March.
    22. Lam, Alice, 2004. "Organizational Innovation," MPRA Paper 11539, University Library of Munich, Germany.
    23. Taghrid Suifan, 2021. "How Innovativeness Mediates The Effects Of Organizational Culture And Leadership On Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 25(02), pages 1-32, February.
    24. Yue Maggie Zhou, 2013. "Designing for Complexity: Using Divisions and Hierarchy to Manage Complex Tasks," Organization Science, INFORMS, vol. 24(2), pages 339-355, April.
    25. Sebastian Brenk & Dirk Lüttgens & Kathleen Diener & Frank Piller, 2019. "Learning from failures in business model innovation: solving decision-making logic conflicts through intrapreneurial effectuation," Journal of Business Economics, Springer, vol. 89(8), pages 1097-1147, December.
    26. Jason Arentz & Frederic Sautet & Virgil Storr, 2013. "Prior-knowledge and opportunity identification," Small Business Economics, Springer, vol. 41(2), pages 461-478, August.
    27. Chesbrough, Henry & Tucci, Christopher L., 2020. "The Interplay Between Open Innovation and Lean Startup, or, Why Large Companies Are Not Large Versions of Startups," Strategic Management Review, now publishers, vol. 1(2), pages 277-303, June.
    28. Adam J. Bock & Tore Opsahl & Gerard George & David M. Gann, 2012. "The Effects of Culture and Structure on Strategic Flexibility during Business Model Innovation," Journal of Management Studies, Wiley Blackwell, vol. 49(2), pages 279-305, March.
    29. Vargas, Luis G., 1990. "An overview of the analytic hierarchy process and its applications," European Journal of Operational Research, Elsevier, vol. 48(1), pages 2-8, September.
    30. Bhatti, Sabeen Hussain & Santoro, Gabriele & Khan, Jabran & Rizzato, Fabio, 2021. "Antecedents and consequences of business model innovation in the IT industry," Journal of Business Research, Elsevier, vol. 123(C), pages 389-400.
    31. Iheanachor, Nkemdilim & David-West, Yinka & Umukoro, Immanuel Ovemeso, 2021. "Business model innovation at the bottom of the pyramid – A case of mobile money agents," Journal of Business Research, Elsevier, vol. 127(C), pages 96-107.
    32. Arthur Huang & Melissa Farboudi Jahromi, 2021. "Resilience building in service firms during and post COVID-19," The Service Industries Journal, Taylor & Francis Journals, vol. 41(1-2), pages 138-167, January.
    33. Budler, Marko & Župič, Ivan & Trkman, Peter, 2021. "The development of business model research: A bibliometric review," Journal of Business Research, Elsevier, vol. 135(C), pages 480-495.
    34. Lily Shui-Lien Chen & June-Hong Chen, 2021. "Antecedents and optimal industrial customers on cloud services adoption," The Service Industries Journal, Taylor & Francis Journals, vol. 41(9-10), pages 606-632, July.
    35. Matthias Breier & Andreas Kallmuenzer & Thomas Clauss & Johanna Gast & Sascha Kraus & Victor Tiberius, 2021. "The role of business model innovation in the hospitality industry during the COVID-19 crisis," Post-Print hal-03514806, HAL.
    36. Ricciardi, Francesca & Zardini, Alessandro & Rossignoli, Cecilia, 2016. "Organizational dynamism and adaptive business model innovation: The triple paradox configuration," Journal of Business Research, Elsevier, vol. 69(11), pages 5487-5493.
    37. Sabrina Schneider & Patrick Spieth & Thomas Clauss, 2013. "Business model innovation in the aviation industry," International Journal of Product Development, Inderscience Enterprises Ltd, vol. 18(3/4), pages 286-310.
    38. Camila Silva de Mattos & Diego Castro Fettermann & Paulo A. Cauchick-Miguel, 2021. "Service modularity: literature overview of concepts, effects, enablers, and methods," The Service Industries Journal, Taylor & Francis Journals, vol. 41(15-16), pages 1007-1028, December.
    39. Vaidya, Omkarprasad S. & Kumar, Sushil, 2006. "Analytic hierarchy process: An overview of applications," European Journal of Operational Research, Elsevier, vol. 169(1), pages 1-29, February.
    40. David J. Teece, 2007. "Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance," Strategic Management Journal, Wiley Blackwell, vol. 28(13), pages 1319-1350, December.
    41. Dincer, Hasan & Hacioglu, Umit & Tatoglu, Ekrem & Delen, Dursun, 2019. "Developing a hybrid analytics approach to measure the efficiency of deposit banks," Journal of Business Research, Elsevier, vol. 104(C), pages 131-145.
    42. Jafari-Sadeghi, Vahid & Amoozad Mahdiraji, Hannan & Devalle, Alain & Pellicelli, Anna Claudia, 2022. "Somebody is hiding something: Disentangling interpersonal level drivers and consequences of knowledge hiding in international entrepreneurial firms," Journal of Business Research, Elsevier, vol. 139(C), pages 383-396.
    43. Maximilian Rothkopf & Andreas Wald, 2011. "Innovation In Commoditized Services: A Study In The Passenger Airline Industry," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 15(04), pages 731-753.
    44. Castiglioni, Marco & Gallego, à ngeles & Galán, José Luis, 2018. "The virtualization of the airline industry: A strategic process," Journal of Air Transport Management, Elsevier, vol. 67(C), pages 134-145.
    45. Vinit Parida & David Sjödin & Wiebke Reim, 2019. "Reviewing Literature on Digitalization, Business Model Innovation, and Sustainable Industry: Past Achievements and Future Promises," Sustainability, MDPI, vol. 11(2), pages 1-18, January.
    46. Albers, Sascha & Heuermann, Caroline & Koch, Benjamin, 2010. "Internationalization strategies of EU and Asia–Pacific low fare airlines," Journal of Air Transport Management, Elsevier, vol. 16(5), pages 244-250.
    47. Yu-Cheng Tang & Malcolm J. Beynon, 2005. "Application and Development of a Fuzzy Analytic Hierarchy Process within a Capital Investment Study," Journal of Economics and Management, College of Business, Feng Chia University, Taiwan, vol. 1(2), pages 207-230, July.
    48. Linda D. Hollebeek & Sigitas Urbonavicius & Valdimar Sigurdsson & Moira K. Clark & Oliver Parts & Raouf Ahmad Rather, 2022. "Stakeholder engagement and business model innovation value," The Service Industries Journal, Taylor & Francis Journals, vol. 42(1-2), pages 42-58, January.
    49. Yuliya Snihur & Christoph Zott & Raphael (Raffi) Amit, 2021. "Managing the Value Appropriation Dilemma in Business Model Innovation," Strategy Science, INFORMS, vol. 6(1), pages 22-38, March.
    50. Patrick Spieth & Sabrina Schneider, 2016. "Business model innovativeness: designing a formative measure for business model innovation," Journal of Business Economics, Springer, vol. 86(6), pages 671-696, August.
    51. Liu, Chui-Hua & Tzeng, Gwo-Hshiung & Lee, Ming-Huei, 2012. "Improving tourism policy implementation – The use of hybrid MCDM models," Tourism Management, Elsevier, vol. 33(2), pages 413-426.
    52. Ahani, Ali & Nilashi, Mehrbakhsh & Yadegaridehkordi, Elaheh & Sanzogni, Louis & Tarik, A. Rashid & Knox, Kathy & Samad, Sarminah & Ibrahim, Othman, 2019. "Revealing customers’ satisfaction and preferences through online review analysis: The case of Canary Islands hotels," Journal of Retailing and Consumer Services, Elsevier, vol. 51(C), pages 331-343.
    53. 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.
    54. Sujith Nair & Hanna Paulose & Miguel Palacios & Javier Tafur, 2013. "Service orientation: effectuating business model innovation," The Service Industries Journal, Taylor & Francis Journals, vol. 33(9-10), pages 958-975, July.
    55. Vasilios Zoumpoulidis & Stavros Valsamidis & Stefanos Nikolaidis & Lambros Tsourgiannis, 2021. "A Unified Business Model Canvas for Digital Intermediaries in Tourism Industry," Contributions to Economics, in: Goran Karanovic & Persefoni Polychronidou & Anastasios Karasavvoglou & Helga Maskarin Ribaric (ed.), Tourism Management and Sustainable Development, pages 71-87, Springer.
    56. Boumediene Ramdani & Ahmed Binsaif & Elias Boukrami, 2019. "Business model innovation: a review and research agenda," New England Journal of Entrepreneurship, Emerald Group Publishing Limited, vol. 22(2), pages 89-108, October.
    57. Balboni, Bernardo & Bortoluzzi, Guido & Pugliese, Roberto & Tracogna, Andrea, 2019. "Business model evolution, contextual ambidexterity and the growth performance of high-tech start-ups," Journal of Business Research, Elsevier, vol. 99(C), pages 115-124.
    58. To, Chester K.M. & Au, Joe S.C. & Kan, C.W., 2019. "Uncovering business model innovation contexts: A comparative analysis by fsQCA methods," Journal of Business Research, Elsevier, vol. 101(C), pages 783-796.
    59. Sabrina Schneider & Patrick Spieth, 2013. "Business Model Innovation: Towards An Integrated Future Research Agenda," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 17(01), pages 1-34.
    60. Dean A. Shepherd & Dawn R. DeTienne, 2005. "Prior Knowledge, Potential Financial Reward, and Opportunity Identification," Entrepreneurship Theory and Practice, , vol. 29(1), pages 91-112, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Laudien, Sven M. & Reuter, Ute & Sendra Garcia, Francisco Javier & Botella-Carrubi, Dolores, 2024. "Digital advancement and its effect on business model design: Qualitative-empirical insights," Technological Forecasting and Social Change, Elsevier, vol. 200(C).
    2. Attah-Boakye, Rexford & Adams, Kweku & Hernandez-Perdomo, Elvis & Yu, Honglan & Johansson, Jeaneth, 2023. "Resource re-orchestration and firm survival in crisis periods: The role of business models of technology MNEs during COVID-19," Technovation, Elsevier, vol. 125(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Randhawa, Krithika & Wilden, Ralf & Gudergan, Siegfried, 2021. "How to innovate toward an ambidextrous business model? The role of dynamic capabilities and market orientation," Journal of Business Research, Elsevier, vol. 130(C), pages 618-634.
    2. Artamoshina, Polina & Shirokova, Galina & Osiyevskyy, Oleksiy & Bodolica, Virginia, 2023. "ADHD symptoms of CEOs and business model innovation in the SME context," Technovation, Elsevier, vol. 128(C).
    3. Zhang, Hongfang & Xiao, Huilin & Wang, Yanling & Shareef, Mahmud A. & Akram, Muhammad Shakaib & Goraya, M. Awais Shakir, 2021. "An integration of antecedents and outcomes of business model innovation: A meta-analytic review," Journal of Business Research, Elsevier, vol. 131(C), pages 803-814.
    4. Balboni, Bernardo & Bortoluzzi, Guido & Pugliese, Roberto & Tracogna, Andrea, 2019. "Business model evolution, contextual ambidexterity and the growth performance of high-tech start-ups," Journal of Business Research, Elsevier, vol. 99(C), pages 115-124.
    5. Elena Freisinger & Sven Heidenreich & Christian Landau & Patrick Spieth, 2021. "Business Model Innovation Through the Lens of Time: An Empirical Study of Performance Implications Across Venture Life Cycles," Schmalenbach Journal of Business Research, Springer, vol. 73(3), pages 339-380, December.
    6. Fabien Martinez, 2022. "Organizational change in response to environmental complexity: Insights from the business model innovation literature," Business Strategy and the Environment, Wiley Blackwell, vol. 31(5), pages 2299-2314, July.
    7. Deon Montasser & Ruslan Prijadi & Tengku Ezni Balqiah, 2023. "The Mediating Effect of IT-Enabled Dynamic Capabilities and Organizational Readiness on the Relationship Between Transformational Leadership and Digital Business Model Innovation: Evidence From Indone," SAGE Open, , vol. 13(2), pages 21582440231, June.
    8. Efpraxia D. Zamani & Anastasia Griva & Kieran Conboy, 2022. "Using Business Analytics for SME Business Model Transformation under Pandemic Time Pressure," Information Systems Frontiers, Springer, vol. 24(4), pages 1145-1166, August.
    9. Pereira, Bruno Alencar & Lohmann, Gui & Houghton, Luke, 2021. "Innovation and value creation in the context of aviation: a Systematic Literature Review," Journal of Air Transport Management, Elsevier, vol. 94(C).
    10. Bhatti, Sabeen Hussain & Santoro, Gabriele & Khan, Jabran & Rizzato, Fabio, 2021. "Antecedents and consequences of business model innovation in the IT industry," Journal of Business Research, Elsevier, vol. 123(C), pages 389-400.
    11. Ancillai, Chiara & Sabatini, Andrea & Gatti, Marco & Perna, Andrea, 2023. "Digital technology and business model innovation: A systematic literature review and future research agenda," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    12. Sam Tavassoli & Lars Bengtsson, 2018. "The Role Of Business Model Innovation For Product Innovation Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 22(07), pages 1-28, October.
    13. Maxime Thomas & Pascal Le Masson & Benoit Weil, 2017. "Why is Business Model Innovation so poorly innovative ? Uncovering the critical role of collaborative design in Business Model Innovation," Post-Print hal-01499143, HAL.
    14. Vinicius Luiz Ferraz Minatogawa & Matheus Munhoz Vieira Franco & Izabela Simon Rampasso & Rosley Anholon & Ruy Quadros & Orlando Durán & Antonio Batocchio, 2019. "Operationalizing Business Model Innovation through Big Data Analytics for Sustainable Organizations," Sustainability, MDPI, vol. 12(1), pages 1-29, December.
    15. Chamindika Weerakoon & Sarath S. Kodithuwakku, 2023. "Configurations of Business Model Innovation: Unpacking the Practice Adopted by Firms in an Emerging Market Context," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 32(1), pages 218-259, March.
    16. Daliborka Witschel & Aaron Döhla & Maximilian Kaiser & Kai-Ingo Voigt & Thilo Pfletschinger, 2019. "Riding on the wave of digitization: insights how and under what settings dynamic capabilities facilitate digital-driven business model change," Journal of Business Economics, Springer, vol. 89(8), pages 1023-1095, December.
    17. Belussi, Fiorenza & Orsi, Luigi & Savarese, Maria, 2019. "Mapping Business Model Research: A Document Bibliometric Analysis," Scandinavian Journal of Management, Elsevier, vol. 35(3).
    18. Mark Loon & Roy Chik, 2019. "Efficiency-centered, innovation-enabling business models of high tech SMEs: Evidence from Hong Kong," Asia Pacific Journal of Management, Springer, vol. 36(1), pages 87-111, March.
    19. Evers, Natasha & Ojala, Arto & Sousa, Carlos M.P. & Criado-Rialp, Alex, 2023. "Unraveling business model innovation in firm internationalization: A systematic literature review and future research agenda," Journal of Business Research, Elsevier, vol. 158(C).
    20. To, Chester K.M. & Chau, K.P. & Kan, Chi Wai, 2020. "The logic of innovative value proposition: A schema for characterizing and predicting business model evolution," Journal of Business Research, Elsevier, vol. 112(C), pages 502-520.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:155:y:2023:i:pa:s0148296322008153. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.