"Business Model Innovation, And Its Consequences: The New Uses And Effects Of Words"

The strong interest by academic scholars and managers in the business model concept has led to the proliferation of research on the subject by both academics and practitioners. Business models emphasize a system-level, holistic approach towards explaining how firms do business (not what, when or where). As such, a business model is the template enabled by new forms of communication and interactions -- a manifestation of the AoM Meeting theme Word -- that depicts the ways in which value is created and captured. Further, the business model in and of itself, has become an important source of innovation which is distinct from other forms of innovation. This symposium will focus on the organizational and performance consequences of business model innovation and thereby explore the Power of Words. The specific issues we seek to address include: (a) What does it mean for a firm to adopt an innovative business model? (b) What are the organizational implications of such an innovative approach to the business template? E.g., how do innovative business models interact with other important firm-level choices, such as organization design, resources and capabilities, or product market positioning? (c) What are the performance consequences of business model innovation? E.g., under which circumstances does business model innovation create a competitive advantage? (d) How have these new templates enabled by digital technologies changed the trajectory of industries, accelerating the demise of some businesses while fostering the formation of new businesses and in fact entire industries? And how do innovative business models shape the ecosystems in which they are embedded? (e) What processes and cognitive mechanisms foster business model innovation? Put differently, how can business model innovation in and of itself be conceived as one of the consequences of Words?