Open Principles in New Business Models for Information Systems

Abstract

Open source software and open innovation are an important resource for today’s industries. Communities collaboratively create different kind of publicly available value, boosting innovation and also technology. However, whereas this value is generated and captured by various involved parties, the outcomes are, in many cases, commercialized by companies who build their business models on this openness. Thus, current business model representations used for these open systems mainly focus on the commercial side of companies, not directly regarding the value creation and distribution by the underlying communities. This results in a lack of potential representation of alternative value created by individuals and communities that are not necessarily aiming for direct monetary compensation. In this work, we show, by the example of open source projects, how communities create value and their potential to be represented by the upcoming domain of new business models. The emerging idea of new business models, based on sharing, collaboration, and the circular economy, not only considers economical viewpoints, but also social and ecological. New trends in research are intensively starting to investigate these models and how they can be brought to practice. The co-creation of value, collaboration of various actors, and following a shared vision are just some of the identified overlaps that are also essential for a potential representation of open communities. This first review unveils that new business models and open source software projects have a variety of aspects in common. We highlight the potential of open communities to be seen as new business models themselves, instead of just being a pure enabler for firms’ business models. This approach is leaving room to explore new organizational and economical aspects of open ecosystems, enhancing the understanding of co-creative communities and the definition of collaborative value.

Business Model Innovation through a Rectangular Compass: From the Perspective of Open Innovation with Mechanism Design

“…Though until around 2000-2001, a business model was defined as a kind of description or statement, it has since been accepted as a kind of concept model or architecture [9,11,13]. Recent business model studies, such as business model prism for arts and cultural organizations, open principles in new business models, dynamics in business model frameworks, and a new and emerging business model of artificial intelligence including relevant platforms, are almost all focused on concept model or architecture [14][15][16]. The common definition of a business model from the concept model or architecture perspective is "the concept model or architecture which provides value proposition, and revenue creation" [17].…”

The Effects of Entrepreneurial Orientation and Environmental Uncertainty on Korean Technology Firms’ R&D Investment

“…For example, Amazon expanded its online discounting E-commerce model to a broad range of products and services. Environmental scarcity during an economic downturn challenged Amazon's basic model, in addition to inducing organizational members' creativity to engage in open innovation considering their business models [72]. Thus, open environmental constraints during an economic recession often encourage firms to take significant risks that inspire innovation [73].…”

Micro- and Macro-Dynamics of Open Innovation with a Quadruple-Helix Model

“…Open innovation micro-dynamics. Source: [1].Open principles in new business models of information systems, learning patterns in dynamic technological system lifecycles, triggers of collaborative innovation in online user communities, and the transformation from design thinking to artistic thinking are also emerging themes of open innovation micro-dynamics[64][65][66][67].In uncertain markets, new metrics can help companies to play poker as well as chess by managing open innovation[68]. Specifically, databases, case studies, and theoretical research have revealed that SMEs require motivations of open innovation with good control of the increasing complexity from various aspects[17,23,69,70].…”