Architectural business model innovation and diversification pivoting challenges

Abstract

This paper investigates the paradox of why agile startups often struggle to adapt their business models despite their initial success. Focusing on architectural business model innovation (BMI), the study examines how the interdependencies among business model activities that provide early advantages in coherence and defensibility can lead to rigidity when environmental changes necessitate redesign. By extending architectural innovation theory from product architectures to business model architectures, we highlight the challenges inherent in reconfiguring activity systems linking internal and external actors. The findings offer insights into the trade-offs between defensibility and adaptability, providing guidance for startups and incumbents on designing for reconfigurability and managing the dynamic interplay between architectural coherence and environmental shifts.

About the speaker

Christopher Tucci is the President of the Academy of Management (AoM) and one of the most renowned researchers in the fields of innovation and technology strategy. His work focuses on business model innovation, artificial intelligence and digitalization, technology policy and fintech regulation, as well as the relationship between corporate governance and innovation.

Christopher Tucci will be a speaker at the Portorož Business Conference and will also deliver a research seminar for our researchers on 19 November at 10:00 a.m., organized in cooperation with the Slovenian Academy of Management (SAM).

His CV: https://profiles.imperial.ac.uk/c.tucci/about

His publications: https://profiles.imperial.ac.uk/c.tucci/publications 

The hosts at the School of Economics and Business are Polona Domadenik Muren PhD and Miha Škerlavaj PhD.

We anticipate your attendance at the seminar with pleasure and appreciate your participation.