A business model pattern arrives... and then? A translation perspective on business model innovation in established firms

Kajsa Ahlgren Ode (1) , Céline Louche (2)

1 Lund University [Lund]
2 Audencia Business School

This study examines business model innovation (BMI) in an established firm. We investigate the case of a Swedish utility company that adopted and implemented a business model (BM) pattern originating from outside the firm. We draw upon Scandinavian translation theory to understand the micro-level dynamics of how BMI unfolds. Our findings show that the BM pattern is disassembled into its constituent parts, that these are translated separately and, little by little, (re)assembled into a whole to form a new BM. This process involves several loops of translation activated by the interplay between five practices: formulating, engaging, resisting, anchoring, and energizing. On the basis of our findings, we develop a BM translation framework. We thereby contribute to a better understanding of the micro-level perspective on BMI initiated by the adoption of a BM pattern. We also reveal that BMI processes triggered by BM patterns from outside differ from those taking place when a new BM is entirely developed within a firm.

Keywords: business model innovation; business model pattern; Scandinavian translation theory; change process

Domains: Business administration

Kajsa Ahlgren Ode, Céline Louche. A business model pattern arrives... and then? A translation perspective on business model innovation in established firms. Strategic Organization, 2022, pp.147612702210941. ⟨10.1177/14761270221094189⟩. ⟨hal-03633349⟩