Business Model Innovation as a Result of Opportunity-Based Disruption

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Author(s): Joe Schembri (University of Malta, Malta)and Margaret Fletcher (University of Glasgow, UK)
Copyright: 2023
Pages: 17
Source title: Handbook of Research on Business Model Innovation Through Disruption and Digitalization
Source Author(s)/Editor(s): Erik Stavnsager Rasmussen (University of Southern Denmark, Denmark)and Nicolaj Hannesbo Petersen (UCL University College, Denmark)
DOI: 10.4018/978-1-6684-4895-3.ch004

Keywords: Business & Management / Business and Organizational Research / Business Science Reference / Entrepreneurship & Innovation

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Abstract

Path-breaking international opportunities are a source of disruption for firms. This chapter argues that international opportunities trigger firm growth, and the firm itself evolves in the process, on the level of both organisational structure and business model. The authors report on a longitudinal study which traced the international trajectory of seven case study firms and finds that the organisational structure of a firm—namely the role of who leads the opportunity-development effort for the firm; the financing of international growth; and the role of the Board of Directors—does prepare the firm for evolution of its business model. However, the key trigger of business model change originates from outside the firm, when a path-breaking international opportunity leads the firm to develop new revenue streams or new market entry modes; or ways of capturing value changes the way the firm enacts commercial opportunity.

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Business Model Innovation as a Result of Opportunity-Based Disruption

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