scholarly journals The Role of MNE Subsidiaries in the Practice of Global Business Models in Transforming Economies

2021 ◽  
pp. 1-28
Author(s):  
Michael Zisuh Ngoasong ◽  
Jinmin Wang ◽  
Rolv Petter Amdam ◽  
Ove Bjarnar
Keyword(s):  
Business Model ◽  
Multinational Enterprises ◽  
Business Models ◽  
Multinational Enterprise ◽  
Western Country ◽  
Structured Interviews ◽  
Global Business ◽  
Cultural Tensions ◽  
Subsidiary Managers

ABSTRACT This study provides new insights into the role of subsidiary managers in the practice of global business models of multinational enterprises in transforming economies. Drawing on the global business model literature and through semi-structured interviews with a leading Norwegian maritime multinational enterprise in China, we have developed and critically explored a theoretical framework for uncovering how subsidiary managers understand and manage the tensions between the headquarters based in a western country and the subsidiaries based in a transforming economy. More specifically, when implementing the global business model in the transforming economy, subsidiary managers need to undertake effective management of structural, behavioural, and cultural tensions along with the global integration-local responsiveness dilemma. Subsidiary managers can contribute to solving structural tensions between the headquarters and subsidiary by undertaking effective market sensing and knowledge transfer activities to integrate the transforming economies into the MNE's global production networks. Meanwhile, they need to make effective relationship management to solve behavioural and cultural tensions.

What Makes a Global Business Model?

2018 ◽  
pp. 19-39 ◽  
Author(s):  
Oleksiy Osiyevskyy ◽  
Milena Troshkova ◽  
Yongjian Bao
Keyword(s):  
Theoretical Analysis ◽  
Conceptual Framework ◽  
Business Model ◽  
Business Models ◽  
International Expansion ◽  
Global Business ◽  
Specific Advantage ◽  
Global Companies ◽  
Research Questions

A firm's business model is an essential mechanism determining how an organization creates value for its stakeholders and captures part of the created value as profit for its owners. Global enterprises secure their market positions through properly functioning business models that are globally scalable. Once a globally scalable business model is successfully designed and validated in one location, it becomes a non-location-bound firm-specific advantage, promoting the firm's international expansion. This chapter addresses the following research questions: (1) What is the role of a business model in the success of global enterprises? (2) Which common attributes do business models of successful global companies possess? and (3) How to make a business model more suitable for global expansion? The theoretical analysis of these questions yields a conceptual framework for examining the global companies through the business model lens. The developed conceptual framework is illustrated and corroborated with the mini-cases of global companies.

What Makes a Global Business Model?

2020 ◽  
pp. 203-223
Author(s):  
Oleksiy Osiyevskyy ◽  
Milena Troshkova ◽  
Yongjian Bao
Keyword(s):  
Theoretical Analysis ◽  
Conceptual Framework ◽  
Business Model ◽  
Business Models ◽  
International Expansion ◽  
Global Business ◽  
Specific Advantage ◽  
Global Companies ◽  
Research Questions

A firm's business model is an essential mechanism determining how an organization creates value for its stakeholders and captures part of the created value as profit for its owners. Global enterprises secure their market positions through properly functioning business models that are globally scalable. Once a globally scalable business model is successfully designed and validated in one location, it becomes a non-location-bound firm-specific advantage, promoting the firm's international expansion. This chapter addresses the following research questions: (1) What is the role of a business model in the success of global enterprises? (2) Which common attributes do business models of successful global companies possess? and (3) How to make a business model more suitable for global expansion? The theoretical analysis of these questions yields a conceptual framework for examining the global companies through the business model lens. The developed conceptual framework is illustrated and corroborated with the mini-cases of global companies.

Business Model Literature Overview

2014 ◽  
pp. 79-130 ◽  
Author(s):  
Ales Novak
Keyword(s):  
Business Model ◽  
Financial Reporting ◽  
Business Models ◽  
Potential Role ◽  
Financial Instruments ◽  
Business Logic ◽  
Literature Overview ◽  
Ifrs 9 ◽  
Definition Of

The term ?business model' has recently attracted increased attention in the context of financial reporting and was formally introduced into the IFRS literature when IFRS 9 Financial Instruments was published in November 2009. However, IFRS 9 did not fully define the term ‘business model'. Furthermore, the literature on business models is quite diverse. It has been conducted in largely isolated fashion; therefore, no generally accepted definition of ?business model' has emerged. Therefore, a better understanding of the notion itself should be developed before further investigating its potential role within financial reporting. The aim of this paper is to highlight some of the perceived key themes and to identify other bases for grouping/organizing the literature based on business models. The contributions this paper makes to the literature are twofold: first, it complements previous review papers on business models; second, it contains a clear position on the distinction between the notions of the business model and strategy, which many authors identify as a key element in better explaining and communicating the notion of the business model. In this author's opinion, the term ‘strategy' is a dynamic and forward-looking notion, a sort of directional roadmap for future courses of action, whereas, ‘business model' is a more static notion, reflecting the conceptualisation of the company's underlying core business logic. The conclusion contains the author's thoughts on the role of the business model in financial reporting.

scholarly journals Equipment Maintenance Business Model Innovation for Sustainable Competitive Advantage in the Digitalization Context: Connotation, Types, and Measuring

2018 ◽  
Vol 10 (11) ◽  
pp. 3970 ◽  
Author(s):  
Juhong Chen ◽  
Ruijun Zhang ◽  
Di Wu
Keyword(s):  
Competitive Advantage ◽  
Business Model ◽  
Business Models ◽  
Economic Benefits ◽  
Business Model Innovation ◽  
Equipment Maintenance ◽  
Sustainable Competitive Advantage ◽  
Structured Interviews ◽  
Profit Center ◽  
Manufacturing Enterprises

The equipment maintenance services have become a new profit center and an important way to gain sustainable competitive advantage for manufacturing enterprises. The business model is an important tool for manufacturing enterprises to derive economic benefits from sustainable competitive advantage in the context of digitalization technologies, such as IoT, big data, and cloud computing. At present, the concept of equipment maintenance business model innovation is still vague, and it is rare to report on the innovation behaviors and types of equipment maintenance business models adopted by manufacturing enterprises. Based on literature analysis of equipment maintenance services and business model innovation, following business model gestalt theory, the concept of equipment maintenance business model innovation is analyzed at the business-level, the types are divided into novel and efficient following value sources—“innovation and efficiency”. The initial scale is developed through literature investigation, semi-structured interviews and expert reviews, and tested by exploratory and confirmatory factor analysis by using the data of two independent large-sample questionnaires. The results indicate that the behavior and types of equipment maintenance business model innovation can be described by two types and 19 items.

The Role of Internal Standardization in Business Models

2020 ◽  
pp. 931-953
Author(s):  
Magnus Johansson ◽  
Amalia Foukaki ◽  
Matts Kärreman
Keyword(s):  
Business Model ◽  
Business Models ◽  
Business Model Innovation ◽  
Firm Level ◽  
Internal Standardization

This chapter focuses on business models and the role of internal standardization in business models. We develop a typology that outlines the role of internal standardization for a set of value configurations that serve as representations of generic business models. The topic is of importance for both managers and researchers in relation to firm level innovation and strategy, as well as how business models relate to internal and external standardization. With regard to business model innovation, this chapter can aid in identifying shifts in the firm's internal standardization focus associated with changes in its business model.

The Role of Internal Standardization in Business Models

2019 ◽  
pp. 126-148
Author(s):  
Magnus Johansson ◽  
Matts Kärreman ◽  
Amalia Foukaki
Keyword(s):  
Business Model ◽  
Business Models ◽  
Business Model Innovation ◽  
Firm Level ◽  
Internal Standardization

This chapter focuses on business models and the role of internal standardization in business models. The authors develop a typology that outlines the role of internal standardization for a set of value configurations that serve as representations of generic business models. The topic is of importance for both managers and researchers in relation to firm level innovation and strategy, as well as how business models relate to internal and external standardization. With regard to business model innovation, this chapter can aid in identifying shifts in the firm's internal standardization focus associated with changes in its business model.

Digital Retail and How Customer-Centric Technology is Reshaping the Industry

2018 ◽  
pp. 1560-1580 ◽  
Author(s):  
Pablo Penas Franco
Keyword(s):  
Internet Of Things ◽  
Business Model ◽  
Business Models ◽  
Customer Experience ◽  
Retail Industry ◽  
Brick And Mortar ◽  
Digital Disruption ◽  
Cloud Technologies ◽  
The Impact

This chapter explains the digital disruption that has occurred and is still happening in the retail industry. It explains the relative positions of the world's leading retailers Wal-Mart, Amazon and Alibaba and the business models of the two top online competitors. It focuses on the impact of SMAC (Social, Mobile, Analytics and Cloud) technologies and new retail trends enabled or boosted by technology such as omni-channel, customer experience, internet of things (IoT) and analytics, fulfillment and delivery. It deepens into IT and business model customer-centric design, the role of the customer and the store in the new digital retail and finishes with an assessment of ROI in retail digitization. The chapter concludes the fundamental IT-enabled changes of digital disruption are critical for all players, traditional brick-and-mortar retailers, pure online players and those with both an online and an offline presence.

Exploring the dynamism of complementarities in executives’ business modelling knowledge structures

2014 ◽  
Vol 7 (4) ◽  
pp. 398-421 ◽  
Author(s):  
Arash Najmaei ◽  
Jo Rhodes ◽  
Peter Lok
Keyword(s):  
Business Model ◽  
Business Models ◽  
Knowledge Structure ◽  
Technological Knowledge ◽  
Manufacturing Firms ◽  
Structured Interviews ◽  
Content Type ◽  
Dynamic Markets ◽  
Business Modelling ◽  
Interactive Nature

Purpose – The purpose of this paper is to explore and explain how market and technological knowledge gained by executives interact in a complementary fashion to form the knowledge structure of their business model which in turn enable them to make sense of underlying complexities surrounding management of strategic courses of action. Design/methodology/approach – Unitizing, categorizing, and classifying (UCC) in conjunction with pattern-matching (power and proof quotes) as qualitative methods were used to analyse a series of semi-structured interviews with eight executives from five small manufacturing firms in Australia. Findings – It was found that executives’ business modelling knowledge structure defined as the knowledge base that underpins their business models is developed from four interactions that exist between their market and technological knowledge. Particularly, executives can learn about technological aspects of their business model from market knowledge they acquire and also learn about marketing issues of their business model from technological knowledge they acquire. This interactive nature offers novel insights into versatility and fungibility of executives’ knowledge as a strategic resource that defines how business models evolve and shows how executives use knowledge as a non-rivalrous resource in different ways for developing different business models. Research limitations/implications – This study is limited in scope to: first, the context of executive of Australian small manufacturing firms and second, limited sources of data. Practical implications – This study offers important implications for business modelling and strategic formulation of practicing managers. It particularly contributes to a fuller understanding of how executives’ learning contributes to the cognitive formation of business models. It also helps executives gain new insights into the importance of various types of knowledge and the complementary nature of their interactions in the development of novel mental models as a key managerial competency in today’s dynamic markets. Originality/value – The conceptual framework developed and findings reported in this study have not been previously studied and offer novel insights into the literature on knowledge-based management, competitiveness, and business modelling.

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