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Competing in digital ecosystems

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  • Subramaniam, Mohan
  • Iyer, Bala
  • Venkatraman, Venkat

Abstract

Digital technologies are revolutionizing traditional interdependencies among businesses. As a result, managers have begun to recognize their business environments as digital ecosystems. For firms accustomed to framing their business environments as industries, this represents a significant shift in perspective—one that requires an understanding of fresh strategic initiatives necessary to compete in the digital era. In this article, we highlight what is new and different about digital ecosystems for firm strategy. We offer frameworks that explain how digital ecosystems provide firms with new sources of value and new avenues for growth. Two sets of underlying concepts govern these frameworks: (1) production and consumption ecosystems and (2) digital envelopes and product-in-use information. We introduce and elaborate upon these foundational concepts and highlight new strategic options for firms to compete in digital ecosystems.

Suggested Citation

  • Subramaniam, Mohan & Iyer, Bala & Venkatraman, Venkat, 2019. "Competing in digital ecosystems," Business Horizons, Elsevier, vol. 62(1), pages 83-94.
    • Handle: RePEc:eee:bushor:v:62:y:2019:i:1:p:83-94
    DOI: 10.1016/j.bushor.2018.08.013
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    6. Jiang, Hong & Yang, Jingxuan & Gai, Jinlong, 2023. "How digital platform capability affects the innovation performance of SMEs—Evidence from China," Technology in Society, Elsevier, vol. 72(C).
    7. Ghosh, Swapan & Hughes, Mat & Hodgkinson, Ian & Hughes, Paul, 2022. "Digital transformation of industrial businesses: A dynamic capability approach," Technovation, Elsevier, vol. 113(C).
    8. Culot, Giovanna & Orzes, Guido & Sartor, Marco & Nassimbeni, Guido, 2020. "The future of manufacturing: A Delphi-based scenario analysis on Industry 4.0," Technological Forecasting and Social Change, Elsevier, vol. 157(C).
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    10. Mohan Subramaniam, 2020. "Digital ecosystems and their implications for competitive strategy," Journal of Organization Design, Springer;Organizational Design Community, vol. 9(1), pages 1-10, December.
    11. Dilek Cetindamar & Mile Katic & Steve Burdon & Ayse Gunsel, 2021. "The Interplay among Organisational Learning Culture, Agility, Growth, and Big Data Capabilities," Sustainability, MDPI, vol. 13(23), pages 1-20, November.
    12. Zahid Sarwar & Jingmei Gao & Adnan Khan, 2024. "Nexus of digital platforms, innovation capability, and strategic alignment to enhance innovation performance in the Asia Pacific region: a dynamic capability perspective," Asia Pacific Journal of Management, Springer, vol. 41(2), pages 867-901, June.
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