An empirical study on the selection of business models using dynamic capability framework as a tool

Abstract

Truly new business models are enabled periodically by a socio-technological disruption and most of the times, firms have to select and refine the already existing models to foster growth and sustain competition. However, the selection process is challenging as there is no right or wrong business model and what works for one firm might not work for the other. The researchers in the field of strategic management advocate that the selection or design of a business model is dependent on the dynamic capabilities of a firm which is unique to it. Teece D.J. (2018) argued that the three clusters of dynamic capability namely sensing, seizing and transforming make a framework which can be used to select or design a business model and maintain a competitive advantage. However, there exists a shortage of empirical studies that furnish granular details on selecting a business model using dynamic capability framework as a tool. Secondly, the inclusion of a value network is important for the selection of a business model but the framework ignores the complexity and advantages of working in a network environment, a common trend in the present business ecosystem. Hence, with this research, we aim to generate empirical insights and details on the selection of a business model using dynamic capability framework as a took by doing a case study on a firm operating in video on demand [VOD] industry.