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Business Model InnovationThe Organizational Dimension$
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Nicolai J Foss and Tina Saebi

Print publication date: 2015

Print ISBN-13: 9780198701873

Published to Oxford Scholarship Online: April 2015

DOI: 10.1093/acprof:oso/9780198701873.001.0001

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The Organizational Dimension of Business Model Exploration

The Organizational Dimension of Business Model Exploration

Evidence from the European Postal Industry

(p.269) 13 The Organizational Dimension of Business Model Exploration
Business Model Innovation

Marcel Bogers

Kristian J. Sund

Juan Andrei Villarroel

Oxford University Press

In recent years postal operators across Europe and much of the developed world have seen an acceleration in digital substitution, as well as a liberalization of the market, such that posts today face lower volumes, but higher competition. Postal operators have had to engage in a massive transformation of their organizations to meet these challenges and have simultaneously sought to diversify their businesses to seek new growth opportunities. This chapter explores examples of business model innovations from postal operators in three European countries. The examples illustrate how business model innovation may be considered a two-stage process of exploration and subsequent exploitation. Focusing primarily on the exploration stage, key organizational tensions emerged from our analysis: cognitive dominant logic, resource struggles, capability substitution and product substitution. It also emerged that these organizations continually experimented with organizational design. In conclusion, the findings suggest areas of organizational design that deserve further research.

Keywords:   Business models, experimentation, exploitation, exploration, innovation, organization

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