Despite the increasing interest in business model innovation (BMI) as a way to improve the performance of firms, and the predominance of family firms (FFs) in modern economy, these two topics have so far not been combined. Drawing on socioemotional wealth (SEW) theory and the corporate social responsibility (CSR) concept, and on insights from research into BMI, we conduct a qualitative analysis using data from fifteen European FFs, examining the strategic and BM focus, the nature of the BM renewal, and the process and outcomes of BMI on their business models (BMs). Our results identify several BM configurations, with a focus on (1) growth by internationalization in combination with attention to increased quality in value creation, and (2) profit orientation based on increased efficiency, enabled by digitalization, mainly in the value delivery components of a BM. The latter reflects distinctive, innovative capabilities found in FFs, that contribute to the preservation of family objectives, as suggested by SEW theory and business orientation on CSR. Furthermore, there is a link between family involvement and limited, but specific, knowledge-related resources, and the way the dynamic BMI process is governed and executed.

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This special issue bundles a series of papers on business model tooling. Business model tools are methods, frameworks or templates to facilitate communication and collaboration regarding Business Model analysis, (re-)design, adoption, implementation and exploitation. In this introduction to the special issue, we position business model tooling in the broader literature, going beyond the mere use of tooling to disseminate academic knowledge. We point out the unique contributions on business model tooling that information systems scholars can bring. After giving an overview of business model tools and ontologies, we sketch a brief research agenda comprising seven research directions: (1) design of tooling; (2) interfaces and usability; (3) evaluation and testing; (4) adoption, diffusion and commercialization of tooling; (5) privacy and security of tool users; (6) the use of tooling in business model education; and (7) future tooling enabled by big data and machine learning.

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This study investigates if BMI helps business innovation to succeed. We analyzed 27 SME cases having differing combinations of Business Model Innovation (BMI), New Product Development (NPD) and effectuation methods. We also analyzed the drivers and market strategy of the SMEs. We found out that typical SME innovation success cases combine at least two methods of implementation, such as BMI and NPD, and focus on low-end market. Effectuation in combination with the aforementioned seems to play significant role as well.

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Business Model (BM) Innovations aim at making systemic changes in the business logic of companies when they are bringing innovative products and services to the market. Companies should be sensitive to changes in their business environment and able to modify their BMs in an agile way. To assess the agility of BMI during specific market entry situations, this paper uses a method that stress tests the value proposition and the components of a BM against contingent uncertainties. We present three qualitative case studies of companies that differ in their market entry approach. Starting from their strategic orientation, these case companies’ stress test their Business models and BM components, using a scenario-based identification of uncertainties. The BM Stress Test method contributes to a quick understanding of the components their BM needs to monitor, reconsider, or improve. Such stress testing helps enhance business agility. The research contributes to market strategy and business modelling research by introducing BM Stress Testing as a new method that can achieve and maintain agility regarding BM uncertainties.@en

Purpose: The purpose of this paper is to analyse how different strategic goals of (micro-, small- and medium-sized firms=SMEs) relate to the business model innovation (BMI) paths that SMEs take when improving their business. Design/methodology/approach: The authors conducted 11 in-depth case studies involving SMEs innovating their business models (BMs). Findings: The authors found evidence that strategic goals of SMEs (start new business, growth and profitability) lead them to alternative innovation path in terms of BM components affected. Growth seekers start from the right-hand side of a BM Canvas, while profitability seekers start from the back end, the left side of a Canvas; and new businesses adopt a cyclical approach considering BM components in turn, while at the same time redesigning and testing the BM. The findings of this study also indicate that all three paths gradually lead to improvement in several BM components. Research limitations/implications: Findings indicate that a strategic management view in which strategic goals define BMI also applies to SMEs. The distinctive BMI paths that the authors identified provide evidence to suggest that, although the SMEs may not have an explicitly formulated strategy, their strategic goals determine the type of improvements they make to their BM. All three SME groups started their improvements from different BM components and changed several elements in their BMs in a specific order, forming distinctive BMI paths. Finally, to understand the BMI in SMEs better, more research is needed into BMI processes and into the way BMI is managed in SMEs. Practical implications: The findings of this study help SMEs to anticipate the next steps in their path towards an improved BM. By mirroring their approach to the BMI paths, they can better manage their BM makeover process and focus on their innovation activities. For providers of BMI tools and methods, the study indicates which SME innovation tasks could be supported by tools and how the tools should be aligned with the BMI paths. Originality/value: BMI is attracting growing attention in both research and practice. However, knowledge concerning BMI in SMEs is limited. The authors contributed to BMI research by focussing on the BMI paths of SMEs, i.e. the often sequential, non-linear and iterative steps taken to improve the business by making changes to specific BM components.

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In this paper we analyse Business Model Innovation (BMI) in European micro, small and medium sized enterprises (SME). We present descriptive findings from our quantitative survey and qualitative case survey on how SMEs are innovating their Business Models. Our survey indicates that 37% of European SMEs innovate their Business Model. We found some differences in BMI depending on the age and industry sectors. We also describe the changes the SMEs make in differing Business Model components when they are improving their Business Model.@en

In many entrepreneurial projects, the concept of the business model (BM) is used to describe a business idea at a high-level and in a holistic way. However, existing literature pays less attention to implementation (or execution) of BM. Implementation becomes more complex when a BM is proposed by or requires a network of collaborating enterprises. The aim of this paper is to provide an approach based on empirical research that supports BM transition from design to implementation. The empirical data used in this paper is based on a case study involving an innovative project in the pharmaceutical sector in Finland. The case analysis demonstrates how a high-level BM needs careful consideration of its operational components from a network perspective to secure both value creation and capture. Drawing on the analysis, six concluding propositions on BM implementation in networked settings are put forward.

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