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How support systems such as a business incubator deal with failure, a common phenomenon in new venture creation, is less understood. Employing a value creation perspective helps us to understand failure, the inability of an entrepreneurial team to build a scalable business model. Based on case studies at nine Swedish business incubators, we develop a dynamic process model towards understanding failure prevention and management in business incubation. We find business incubation practices towards failure prevention and management to be a mix of predictive and non-predictive strategies. These practices could help prevent and mitigate failure at personal, organisational and social levels towards value creation for the startups and their stakeholders and channel the effects of failure towards social benefit.

Purpose

The research argues for the need to correctly identify and strengthen the core competencies of a firm, especially relevant in the service-oriented firm context where value creation requires resourceful and efficient provision of service. This study of 17 airlines from Asia, Europe, and Oceania reveals a picture of inconsistencies in the core competence strategy of airlines. It brings out the situation in which firms believe and project that they are service oriented, but fail to have the core competence strategies of a service firm or the business model innovations that lead to service orientation, thus leading to performance heterogeneity among intraindustry firms having similar business models. This paper proposes that seemingly similar business models differ in performance due to their service orientation and identification of the core competence serves as both the primary requirement for business model innovation and a measuring indicator of service orientation. The research on the airline industry advances the understanding of how core competence strategy and business model innovation constructs behave in the service firms' effort to gain sustainable competitive advantage.

The purpose of this article is to develop an understanding of business incubation along its temporal dimensions from a value creation perspective. We explore the temporal dimensions of business incubation by conducting a case study of six Swedish incubators with 43 semi-structured interviews of entrepreneurs and incubator coaches and managers. We show that temporality could be understood along the content and process of value creation. Such a delineation brings out the temporal tensions associated with the value creation processes in incubation. Our study adds to the current incubator literature by providing a more comprehensive explanation of its processes from a value creation perspective.

the three anonymous reviewers for their insightful and developmental comments. We also thank Tor

Current literature presents the antecedents of business model design as a given managerial choice. In complex and uncertain environments, there might not be enough information for the managers to make choices as the options for creating and capturing value have to coevolve with emerging innovations. We argue for how business model design and its antecedents differ and develop a process model that shows how and when a firm can generate business model designs in complex innovation. Through the principles of design under complexity, our model develops a non-predictive approach that connects emerging complex-innovations to the antecedents of their business models, whereby a focal firm engages in the collaborative generation of business model design alternatives. Thereby we extend the understanding of the business model design and its antecedents under complex and uncertain environments.

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