The business model in the practice of strategic decision making: Insights from a case study

Management Decision

Volumn 50, Issue 2, 2012, Pages 166-188

  Hacklin, Fredrik ^a   Wallnöfer, Maria ^a  

^a ETH ZURICH   (Switzerland)

Author keywords

Business enterprise; Business model; Corporate strategy; Modelling; Participatory decision making; Strategy as practice

Indexed keywords

EID: 84857957552     PISSN: 00251747     EISSN: None     Source Type: Journal    
DOI: 10.1108/00251741211203515     Document Type: Article

References (82)

1. Afuah, A. and Tucci, C.L. (2001), Internet Business Models and Strategies, McGraw-Hill, Irwin, Boston, MA.
2. Alt, R. and Zimmerman, H.D. (2001), “Introduction to a special section on business models”, Electronic Markets, Vol. 11 No. 1, pp. 3-9.
3. Amit, R. and Zott, C. (2001), “Value creation in e-business”, Strategic Management Journal, Vol. 22 Nos 6-7, pp. 493-520.
4. Baden-Fuller, C. and Morgan, M.S. (2010), “Business models as models”, Long Range Planning, Vol. 43 Nos 2/3, pp. 156-71.
5. Barrett, F.J., Thomas, G.F. and Hocevar, S.P. (1995), “The central role of discourse in large-scale change: a social construction perspective”, Journal of Applied Behavioral Science, Vol. 31 No. 3, pp. 352-72.
6. Barry, D. and Elmes, M. (1997), “Strategy retold: toward a narrative view of strategic discourse”, Academy of Management Review, Vol. 22 No. 2, pp. 429-52.
7. Bentzen, E., Christiansen, J.K. and Varnes, C.J. (2011), “What attracts decision makers' attention? Managerial allocation of time at product development portfolio meetings”, Management Decision, Vol. 49 No. 3, pp. 1-29.
8. Bouchikhi, H. and Kimberly, J.R. (2003), “Escaping the identity trap”, MIT Sloan Management Review, Vol. 44 No. 3, pp. 20-6.
9. Bourgeois, L.J. and Eisenhardt, K.M. (1988), “Strategic decision process in high velocity environments: four cases in the microcomputer industry”, Management Science, Vol. 34 No. 7, pp. 816-35.
10. Campbell, J. (1997), “Mechanisms of evolutionary change in economic governance: Interaction, interpretation and bricolage”, in Magnusson, L. and Ottosson, J. (Eds), Evolutionary Economics and Path Dependence, Edward Elgar Publishing, Cheltenham, pp. 10-32.
11. Carlile, P.R. (2002), “A pragmatic view of knowledge and boundaries: boundary objects in new product development”, Organization Science, Vol. 13 No. 4, pp. 442-55.
12. Carlile, P.R. (2004), “Transferring, translating, and transforming: an integrative framework for managing knowledge across boundaries”, Organization Science, Vol. 15 No. 5, pp. 555-68.
13. Carmeli, A., Sheaffer, Z. and Halevi, M.Y. (2009), “Does participatory decision-making in top management teams enhance decision effectiveness and firm performance?”, Personnel Review, Vol. 38 No. 6, pp. 696-714.
14. Casadesus-Masanell, R. and Ricart, J.E. (2010), “From strategy to business models and onto tactics”, Long Range Planning, Vol. 43 Nos 2/3, pp. 195-215.
15. Chesbrough, H.W. and Appleyard, M.M. (2007), “Open innovation and strategy”, California Management Review, Vol. 50 No. 1, pp. 57-76.
16. Chesbrough, H. and Rosenbloom, R.S. (2002), “The role of the business model in capturing value from innovation: evidence from Xerox Corporation's technology spin-off companies”, Industrial and Corporate Change, Vol. 11 No. 3, pp. 529-55.
17. Clark, D.N. (1997), “Strategic management tool usage: a comparative study”, Strategic Change, Vol. 6 No. 7, pp. 417-27.
18. Cohen, M.D., March, J.G. and Olsen, J.P. (1972), “A garbage can model of organizational choice”, Administrative Science Quarterly, Vol. 17 No. 1, pp. 1-25.
19. Cooper, R.G. (1979), “Identifying industrial new product success: project newprod”, Industrial Marketing Management, Vol. 8 No. 2, pp. 124-35.
20. Demil, B. and Lecocq, X. (2010), “Business model evolution: in search of dynamic consistency”, Long Range Planning, Vol. 43 Nos 2/3, pp. 227-46.
21. Dequech, D. (2001), “Bounded rationality, institutions, and uncertainty”, Journal of Economic Issues, Vol. 35 No. 4, p. 911.
22. Doganova, L. and Eyquem-Renault, M. (2009), “What do business models do? Innovation devices in technology entrepreneurship”, Research Policy, Vol. 38 No. 10, pp. 1559-70.
23. Eden, C. and Huxham, C. (1996), “Action research for the study of organizations”, in Clegg, S.E.A. (Ed.), Handbook of Organization Studies, Sage, London, pp. 526-42.
24. Eisenhardt, K.M. (1989), “Building theories from case study research”, Academy of Management Review, Vol. 14 No. 4, pp. 532-50.
25. Eisenhardt, K.M. and Zbaracki, M.J. (1992), “Strategic decision making”, Strategic Management Journal, Vol. 13, S2, pp. 17-37.
26. Fiol, C.M. and Huff, A.S. (1992), “Maps for managers: where are we? Where do we go from here?”, Journal of Management Studies, Vol. 29 No. 3, pp. 267-85.
27. Flouris, T. and Walker, T.J. (2005), “The financial performance of low-cost and full-service airlines in times of crisis”, Canadian Journal of Administrative Sciences, Vol. 22 No. 1, pp. 3-20.
28. Ford, J.D. and Ford, L.W. (1995), “The role of conversations in producing intentional change in organizations”, Academy of Management Review, Vol. 20 No. 3, pp. 541-70.
29. Gardner, H. (1996), “Leading minds: an anatomy of leadership”, Basic Books, New York, NY.
30. Greenwood, D.J., Whyte, W.F. and Harkavy, I. (1993), “Participatory action research as a process and as a goal”, Human Relations, Vol. 46 No. 2, pp. 175-92.
31. Gunn, R. and Williams, W. (2007), “Strategic tools: an empirical investigation into strategy in practice in the UK”, Strategic Change, Vol. 16 No. 5, pp. 201-16.
32. Harrison, R.T. and Leitch, C.M. (2000), “Learning and organization in the knowledge-based information economy: initial findings from a participatory action research case study”, British Journal of Management, Vol. 11 No. 2, pp. 103-19.
33. Hedman, J. and Kalling, T. (2003), “The business model concept: theoretical underpinnings and empirical illustrations”, European Journal of Information Systems, Vol. 12 No. 1, pp. 49-59.
34. Hendry, J. (2000), “Strategic decision making, discourse, and strategy as social practice”, Journal of Management Studies, Vol. 37 No. 7, pp. 955-77.
35. Hendry, K.P., Kiel, G.C. and Nicholson, G. (2010), “How boards strategise: a strategy as practice view”, Long Range Planning, Vol. 43 No. 1, pp. 33-56.
36. Hickson, D.J., Butler, R., Gray, C., Mallory, G.R. and Wilson, D.C. (1986), Top Decisions: Strategic Decision-making in Organizations, Jossey-Bass, San Francisco, CA.
37. Hodgkinson, G.P. and Wright, G. (2002), “Confronting strategic inertia in a top management team: learning from failure”, Organization Studies, Vol. 23 No. 6, pp. 949-77.
38. Hodgkinson, G.P., Whittington, R., Johnson, G. and Schwarz, M. (2006), “The role of strategy workshops in strategy development processes: formality, communication, co-ordination and inclusion”, Long Range Planning, Vol. 39 No. 5, pp. 479-96.
39. IBM (2006), “Expanding the innovation horizon”, The Global CEO Study 2006, IBM Global Business Services.
40. IBM (2008), “The enterprise of the future”, IBM Global CEO Study, IBM Global Business Services.
41. Jarzabkowski, P. (2003), “Strategic practices: an activity theory perspective on continuity and change”, Journal of Management Studies, Vol. 40 No. 1, pp. 23-55.
42. Jarzabkowski, P. (2004), “Strategy as practice: recursiveness, adaptation, and practices-in-use”, Organization Studies (01708406), Vol. 25 No. 4, pp. 529-60.
43. Jarzabkowski, P. (2005), Strategy as Practice: An Activity-based Approach, Sage, London.
44. Jarzabkowski, P. and Wilson, D.C. (2006), “Actionable strategy knowledge: a practice perspective”, European Management Journal, Vol. 24 No. 5, pp. 348-67.
45. Johnson, G., Melin, L. and Whittington, R. (2003), “Micro strategy and strategizing: towards an activity-based view”, Journal of Management Studies, Vol. 40 No. 1, pp. 3-22.
46. Johnson, M.W., Christensen, C.M. and Kagermann, H. (2008), “Reinventing your business model”, Harvard Business Review, Vol. 86 No. 12, pp. 50-9.
47. Klein, K.J., Tosi, H. and Cannella, A.A. Jr (1999), “Multilevel theory building: benefits, barriers, and new developments”, Academy of Management Review, Vol. 24 No. 2, p. 248.
48. Knott, P. (2006), “A typology of strategy tool applications”, Management Decision, Vol. 44 No. 8, pp. 1090-105.
49. Lange, J.E., Mollov, A., Pearlmutter, M., Singh, S. and Bygrave, W.D. (2007), “Pre-start-up formal business plans and post-start-up performance: a study of 116 new ventures”, Venture Capital, Vol. 9 No. 4, pp. 237-56.
50. Liedtka, J.M. and Rosenblum, J.W. (1996), “Shaping conversations: making strategy, managing change”, California Management Review, Vol. 39 No. 1, pp. 141-57.
51. Linder, J.C. and Cantrell, S. (2000), “Changing business models: surveying the landscape”, Accenture Institute for Strategic Change.
52. Luhmann, N. (1986), “The autopoiesis of social systems”, in Geyer, G.V.d.Z.J. (Ed.), Sociocybernetic Paradoxes: Observation, Control and Evolution of Self-steering Systems, Sage, London, pp. 172-92.
53. Luhmann, N. (1995), Social Systems, Stanford University Press, Stanford, CA.
54. Magretta, J. (2002), “Why business models matter”, Harvard Business Review, Vol. 80 No. 5, pp. 86-92.
55. Martin, J. and Powers, M.E. (1983), “Truth or corporate propaganda: the value of a good war story”, in Pondy, L.R. (Ed.), Organizational Symbolism, JAI Press, Greenwich, CT, pp. 93-107.
56. Mintzberg, H. (1987), “The strategy concept i: five Ps for strategy”, California Management Review, Vol. 30 No. 1, pp. 11-24.
57. Mintzberg, H. and Waters, J.A. (1985), “Of strategies, deliberate and emergent”, Strategic Management Journal, Vol. 6 No. 3, pp. 257-72.
58. Morris, M., Schindehutte, M. and Allen, J. (2005), “The entrepreneur's business model: toward a unified perspective”, Journal of Business Research, Vol. 58 No. 6, pp. 726-35.
59. Perkmann, M. and Spicer, A. (2010), “What are business models? Developing a theory of performative representations”, Research in the Sociology of Organizations, Vol. 29, pp. 265-75.
60. Petrovic, O., Kittl, C. and Teksten, R.D. (2001), “Developing business models for ebusiness”, International Conference on Electronic Commerce.
61. Poole, M.S. and van de Ven, A.H. (1989), “Using paradox to build management and organization theories”, Academy of Management Review, Vol. 14 No. 4, pp. 562-78.
62. Prahalad, C.K. and Bettis, R.A. (1986), “The dominant logic – a new linkage between diversity and performance”, Strategic Management Journal, Vol. 7 No. 6, pp. 485-501.
63. Rayport, J.F. and Jaworski, B.J. (2001), E-Commerce, McGraw Hill, New York, NY.
64. Roos, J., Victor, B. and Statler, M. (2004), “Playing seriously with strategy”, Long Range Planning, Vol. 37 No. 6, pp. 549-68.
65. Rumelt, R.P., Schendel, D. and Teece, D.J. (1991), “Strategic management and economics”, Strategic Management Journal, Vol. 12, S2, pp. 5-29.
66. Sabatier, V., Mangematin, V. and Rousselle, T. (2010), “From recipe to dinner: business model portfolios in the European biopharmaceutical industry”, Long Range Planning, Vol. 43 Nos 2/3, pp. 431-47.
67. Samra-Fredericks, D. (2003), “Strategizing as lived experience and strategists' everyday efforts to shape strategic direction”, Journal of Management Studies, Vol. 40 No. 1, pp. 141-74.
68. Schwenk, C.R. (1988), “The cognitive perspective on strategic decision making”, Journal of Management Studies, Vol. 25 No. 1, pp. 41-55.
69. Schön, D.A. (2006), The Reflective Practitioner: How Professionals Think in Action, Ashgate, Aldershot.
70. Schwenk, C.R. (1995), “Strategic decision making”, Journal of Management, Vol. 21 No. 3, pp. 471-93.
71. Shafer, S.M., Smith, H.J. and Linder, J.C. (2005), “The power of business models”, Business Horizons, Vol. 48 No. 3, pp. 199-207.
72. Simons, T., Pelled, L.H. and Smith, K.A. (1999), “Making use of difference: diversity, debate, and decision comprehensiveness in top management teams”, Academy of Management Journal, Vol. 42 No. 6, pp. 662-73.
73. Spee, A.P. and Jarzabkowski, P. (2009), “Strategy tools as boundary objects”, Strategic Organization, Vol. 7 No. 2, pp. 223-32.
74. Stenfors, S. (2007), “Strategy tools and strategy toys: management tools in strategy work”, Helsinki School of Economics, Helsinki, cumulative dissertation.
75. Teece, D.J. (2010), “Business models, business strategy and innovation”, Long Range Planning, Vol. 43 Nos 2/3, pp. 172-94.
76. Tripsas, M. and Gavetti, G. (2000), “Capabilities, cognition, and inertia: evidence from digital imaging”, Strategic Management Journal, Vol. 21 Nos 10/11, pp. 1147-61.
77. Viscio, A.J. and Pasternack, B.A. (1996), “Toward a new business model”, Strategy & Business, Vol. 2 No. 1, pp. 125-34.
78. Voelpel, S.C., Leibold, M. and Tekie, E.B. (2004), “The wheel of business model reinvention: how to reshape your business model to leapfrog competitors”, Journal of Change Management, Vol. 4 No. 3, pp. 259-76.
79. Worren, N., Moore, K. and Elliott, R. (2002), “When theories become tools: toward a framework for pragmatic validity”, Human Relations, Vol. 55 No. 10, pp. 1227-50.
80. Yin, R.K. (1994), Case Study Research: Design and Methods, Sage, Thousand Oaks, CA.
81. Yunus, M., Moingeon, B. and Lehmann-Ortega, L. (2010), “Building social business models: lessons from the grameen experience”, Long Range Planning, Vol. 43 Nos 2/3, pp. 308-25.
82. Zott, C., Amit, R. and Massa, L. (2011), “The business model: recent developments and future research”, Journal of Management, Vol. 37 No. 4, pp. 1019-42.