Unpacking the Disruption Process: New Technology, Business Models, and Incumbent Adaptation

37 Pages Posted: 19 Oct 2018

See all articles by Alessio Cozzolino

Alessio Cozzolino

University College Dublin (UCD)

Gianmario Verona

Bocconi University - Department of Management and Technology; SDA Bocconi

Frank T. Rothaermel

Georgia Institute of Technology; Georgia Institute of Technology - Scheller College of Business

Date Written: November 2018

Abstract

Despite the growing importance of digital transformation and the notion of disruptive innovation, strategy literature still lacks a more complete picture of how incumbent organizations adapt their business models after disruptions. This research sheds light on this important process by analyzing a major Italian news media publisher reacting to the advent of the internet and the emergence of new business models by entrants into the industry (1995–2017). We specifically examine: (1) the drivers and impeding factors of business model adaptation; (2) how incumbents change strategies to cope with different components of the disruption process; and (3) how a closed business model can be renewed to develop an open, platform‐based business model to seize external opportunities, incur lower costs, and fend off disruptors. This study contributes to the burgeoning literature on disruption, business models, and platforms.

Keywords: digital platforms, disruptive innovation, incumbent adaptation, open business models, value creation and capture

Suggested Citation

Cozzolino, Alessio and Verona, Gianmario and Rothaermel, Frank T., Unpacking the Disruption Process: New Technology, Business Models, and Incumbent Adaptation (November 2018). Journal of Management Studies, Vol. 55, Issue 7, pp. 1166-1202, 2018, Available at SSRN: https://ssrn.com/abstract=3268872 or http://dx.doi.org/10.1111/joms.12352

Alessio Cozzolino (Contact Author)

University College Dublin (UCD) ( email )

Belfield
Belfield, Dublin 4 4
Ireland

Gianmario Verona

Bocconi University - Department of Management and Technology ( email )

Via Roentgen 1
Milan, MI 20136
Italy

SDA Bocconi ( email )

Via Bocconi 8
Milan, Milan 20136
Italy

Frank T. Rothaermel

Georgia Institute of Technology ( email )

800 West Peachtree Street NW
Atlanta, GA 30308-1149
United States
404-385-5108 (Phone)
404-894-6030 (Fax)

HOME PAGE: http://mgt.gatech.edu/rothaermel

Georgia Institute of Technology - Scheller College of Business ( email )

800 West Peachtree St.
Atlanta, GA 30308
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
6
Abstract Views
301
PlumX Metrics