eISSN: 3087-4084 editor@aimjournals.com
All Journals
Submit your article

International Journal of Management and Business Development

Open Access Peer Review International
Open Access

DRIVING GROWTH AND PERFORMANCE THROUGH BUSINESS MODEL INNOVATION IN FAMILY FIRMS

DOI https://doi.org/10.55640/ijmbd-v02i01-01
PDF
Jonathan Kane 1 ,
4 School of Management, International Business University, Canada

Abstract

This study examines the role of business model innovation (BMI) in driving the growth and performance of family firms. Family firms are known for their unique characteristics, including long-term orientation, strong family ties, and a focus on legacy. However, despite their historical success, many family businesses face challenges related to innovation and adapting to changing market conditions. This research aims to investigate how business model innovation can help family firms enhance their competitive advantage, drive growth, and improve performance. The study employs a qualitative approach, analyzing data from interviews with senior executives of family businesses across different industries. The findings indicate that business model innovation is a critical factor for sustained growth and performance, with family firms leveraging their values, culture, and long-term vision to successfully implement innovative business models.

Keywords

Business Model Innovation, Family Firms, Growth and Performance

References

📄 Teece, D.J. Business Models, Business Strategy and Innovation. Long Range Plan. 2010, 43, 172–194. [Google Scholar] [CrossRef]
📄 Ghezzi, A.; Cavallo, A. Agile Business Model Innovation in Digital Entrepreneurship: Lean Startup Approaches. J. Bus. Res. 2020, 110, 519–537. [Google Scholar] [CrossRef]
📄 Wirtz, B.W.; Pistoia, A.; Ullrich, S.; Göttel, V. Business models: Origin, development and future research perspectives. Long Range Plan. 2016, 49, 36–54. [Google Scholar] [CrossRef]
📄 Szopinski, D.; Schoormann, T.; John, T.; Knackstedt, R.; Kundisch, D. Software tools for business model innovation: Current state and future challenges. Electron. Mark. 2019, 30, 469–494. [Google Scholar] [CrossRef]
📄 Molina-Castillo, F.-J.; Lopez-Nicolas, C.; Soto-Acosta, P. Interaction effects of media and message on perceived complexity, risk and trust of innovative products. Eur. Manag. J. 2012, 30, 577–587. [Google Scholar] [CrossRef]
📄 Rodriguez, R.; Molina-Castillo, F.-J.; Svensson, G. Enterprise resource planning and business model innovation: Process, evolution and outcome. Eur. J. Innov. Manag. 2020, 23, 728–752. [Google Scholar] [CrossRef]
📄 Clauss, T. Measuring business model innovation: Conceptualization, scale development, and proof of performance. RD Manag. 2017, 47, 385–403. [Google Scholar] [CrossRef]
📄 Spieth, P.; Schneider, S. Business model innovativeness: Designing a formative measure for business model innovation. J. Bus. Econ. 2016, 86, 671–696. [Google Scholar] [CrossRef]
📄 Cortimiglia, M.N.; Ghezzi, A.; German, A. Business model innovation and strategy making nexus: Evidence from a cross-industry mixed-methods study. RD Manag. 2016, 46, 414–432. [Google Scholar] [CrossRef]
📄 Bucherer, E.; Eisert, U.; Gassmann, O. Towards Systematic Business Model Innovation: Lessons from Product Innovation Management. Creat. Innov. Manag. 2012, 21, 183–198. [Google Scholar] [CrossRef]
📄 Snihur, Y.; Tarzijan, J. Managing complexity in a multi-business-model organization. Long Range Plan. 2018, 51, 50–63. [Google Scholar] [CrossRef]
📄 Foss, N.J.; Saebi, T. Fifteen Years of Research on Business Model Innovation. J. Manag. 2017, 43, 200–227. [Google Scholar] [CrossRef]
📄 Nieto, M.J.; Santamaria, L.; Fernandez, Z. Understanding the Innovation Behavior of Family Firms. J. Small Bus. Manag. 2015, 53, 382–399. [Google Scholar] [CrossRef]
📄 EFB. 2019. Available online: https://europeanfamilybusinesses.eu/about-european-family-businesses/ (accessed on 24 April 2017).
📄 Prahalad, C.K. The Fortune at the Bottom of the Pyramid; Pearson Education: Noida, India, 2006. [Google Scholar]
📄 Kotlar, J.; De Massis, A.; Wright, M.; Frattini, F. Organizational Goals: Antecedents, Formation Processes and Implications for Firm Behavior and Performance. Int. J. Manag. Rev. 2018, 20, S3–S18. [Google Scholar] [CrossRef]
📄 Domenichelli, O.; Bettin, G. Generational Socioemotional Wealth and Debt Maturity: Evidence from Private Family Firms of GIPSI Countries. Int. J. Econ. Financ. 2021, 13, 67. [Google Scholar] [CrossRef]
📄 Gouëdard, M.; Radu-Lefebvre, M.; Vershinina, N. Innovative postures in a family business: Family priorities driving resource (re)configuration. Rev. L’entrepreneuriat Rev. Entrep. 2023, 1, 103–132. [Google Scholar] [CrossRef]
📄 Hernández-Perlines, F.; Ariza-Montes, A.; Araya-Castillo, L. Socioemotional wealth, entrepreneurial orientation and international performance of family firms. Ekon. Istraz. 2020, 33, 3125–3145. [Google Scholar] [CrossRef]
📄 Hernández-Perlines, F.; Araya-Castillo, L.; Millán-Toledo, C.; Cisneros, M.A.I. Socioemotional wealth: A systematic literature review from a family business perspective. Eur. Res. Manag. Bus. Econ. 2023, 29, 100218. [Google Scholar] [CrossRef]
📄 De Massis, A.; Rondi, E.; Appleton, S.W. Innovation in Family Business; Springer: Berlin/Heidelberg, Germany, 2022. [Google Scholar] [CrossRef]
📄 Németh, K.; Dőry, T. Influencing factors of innovation performance in family firms—Based on an empirical research. Vez. Bp. Manag. Rev. 2019, 50, 58–71. [Google Scholar] [CrossRef]
📄 Sumaiyah, A.A.; Rosli, M. The relationship between business model and performance of manufacturing small and medium enterprises in Malaysia. Afr. J. Bus. Manag. 2011, 5, 8918–8932. [Google Scholar] [CrossRef]
📄 Diaz-Moriana, V.; Clinton, E.; Kammerlander, N.; Lumpkin, G.T.; Craig, J.B. Innovation motives in family firms: A transgenerational view. Entrep. Theory Pract. 2018, 44, 256–287. [Google Scholar] [CrossRef]
📄 Lee, Y.; Shin, J.; Park, Y. The changing pattern of SME’s innovativeness through business model globalization. Technol. Forecast. Soc. Chang. 2012, 79, 832–842. [Google Scholar] [CrossRef]
📄 Duran, P.; Kammerlander, N.; Van Essen, M.; Zellweger, T. Doing more with less: Innovation input and output in family firms. Acad. Manag. J. 2016, 59, 1224–1264. [Google Scholar] [CrossRef]
📄 Brink, T. Organising of dynamic proximities enables robustness, innovation and growth: The longitudinal case of small and medium-sized enterprises (SMEs) in food producing firm networks. Ind. Mark. Manag. 2018, 75, 66–79. [Google Scholar] [CrossRef]
📄 Barringger, B.R.; Jones, F.F.; Neubaum, D.O. A quantitative content analysis of the characteristics of rapid-growth firms and their founders. J. Bus. Ventur. 2005, 20, 663–687. [Google Scholar] [CrossRef]
📄 Wiklund, J.; Patzelt, H.; Shepherd, D. Building an integrative model of small business growth. Small Bus. Econ. 2007, 32, 351–374. [Google Scholar] [CrossRef]
📄 Kosmidou, V.; Ahuja, M.K. A Configurational Approach to Family Firm Innovation. Fam. Bus. Rev. 2019, in press. [Google Scholar] [CrossRef]

Most read articles by the same author(s)

1 2 > >> 

Similar Articles

1-10 of 28

You may also start an advanced similarity search for this article.