Putting boundaries in the middle of business model innovation: A framework to face megatrends in the digital and sustainable landscape

Abstract

PurposeThe paper aims to analyse the construct of business model innovation (BMI) in the digital and sustainable landscape, investigating the key role of boundary strategies. The paper advances a comprehensive framework aimed at further understanding the overlap among digitalization, sustainability and BMI development, by a “boundary approach”.Design/methodology/approachThe paper follows a theoretical approach based on an in-depth review of relevant literature on BMI, digitalization and sustainability as relevant megatrends and, boundary management. By critically integrating the literature, a framework is developed with the objective of supporting firms in the current transformation challenges.FindingsThe paper highlights the interplay among BMIs, megatrends and boundary management. The pressures and opportunities driven by the technological changes have made even more relevant the management of resources placed in the boundary area. Our study shows how firms can rethink their BMs in the digital and sustainable landscape by providing a boundary-based framework.Practical implicationsThe framework offers insights and guidelines to help practitioners manage the change processes dictated by digitalization and sustainability. The authors encourage a focus on boundary resources/capabilities to increase the effective management of the digitalization and sustainability processes, to grasp the external stimuli driven by these two megatrends and to develop new/renewed BMIs.Originality/valueThis study emphasizes the importance of developing new BMIs in the current digital and sustainable landscape starting from the analysis of firm’s boundaries. The paper enriches the BMI literature supporting the enhancement of boundary management, leading firms to overcome challenges in the digital and sustainable landscape.