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Emergent market innovation: A longitudinal study of technology-driven capability development and institutional work

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  • Ekman, Peter
  • Röndell, Jimmie
  • Kowalkowski, Christian
  • Raggio, Randle D.
  • Thompson, Steven M.

Abstract

Extant literature focuses primarily on deliberate, proactive market-shaping efforts to understand changes in markets. This paper explores how emergent, incremental activities might unintentionally prompt market innovation due to the interactions of capability development and its required institutional work. Using a critical case method, we study a firm that successfully challenged established market logic by systematically changing its capabilities. A longitudinal field study reveals that capability development demands induce changes to institutional foundations; then, as institutions change, further capabilities can be developed, all of which may instigate wider market innovation outcomes. This study conceptualizes this intricate, iterative process, as well as its evolutionary market innovation outcomes. The proposed three-level capability model can guide firms striving to offer new and innovative services. The authors also detail a three-stage research design methodology that can help research and practice gain in-depth understanding of both emergent unintentional market innovation and strategic deliberate market-shaping activities.

Suggested Citation

  • Ekman, Peter & Röndell, Jimmie & Kowalkowski, Christian & Raggio, Randle D. & Thompson, Steven M., 2021. "Emergent market innovation: A longitudinal study of technology-driven capability development and institutional work," Journal of Business Research, Elsevier, vol. 124(C), pages 469-482.
    • Handle: RePEc:eee:jbrese:v:124:y:2021:i:c:p:469-482
    DOI: 10.1016/j.jbusres.2020.10.061
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    References listed on IDEAS

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    3. Stathakopoulos, Vlasis & Kottikas, Konstantinos G. & Painesis, Grigorios & Theodorakis, Ioannis G. & Kottika, Efthymia, 2022. "Why shape a market? Empirical evidence on the prominent firm-level and market-level outcomes of market-driving strategy," Journal of Business Research, Elsevier, vol. 139(C), pages 1240-1254.
    4. Stavros Kalogiannidis & Dimitrios Kalfas & Efstratios Loizou & Olympia Papaevangelou & Fotios Chatzitheodoridis, 2023. "Smart Sustainable Marketing and Emerging Technologies: Evidence from the Greek Business Market," Sustainability, MDPI, vol. 16(1), pages 1-21, December.
    5. Wei Wang & Haofei Wang & Xueqin Wang, 2024. "Simulation and prediction of the dynamic evolution characteristics of resource- and technology-driven economic development models: a case study of the Yangtze River economic belt in China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(7), pages 17967-17993, July.
    6. Chatterjee, Sheshadri & Chaudhuri, Ranjan & Kumar, Ajay & Gupta, Shivam & Sengupta, Pooja, 2023. "Rethinking of firm innovation capability: Examining the moderating role of leadership ability on a new business model," Technological Forecasting and Social Change, Elsevier, vol. 195(C).
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