Research Commentary--Information Technology-Enabled Business Models: A Conceptual Framework and a Coevolution Perspective for Future Research

Author List: Rai, Arun; Tang, Xinlin;

Information Systems Research, 2014, Volume 25, Issue 1, Page 1/14/2017.

There is growing recognition that firms' information technology (IT)-enabled business models (i.e., how interfirm transactions with suppliers, customers, and partners are structured and executed) are a distinctive source of value creation and appropriation. However, the concept of business models' (BMs) “IT enablement” remains coarse in the information systems and strategic management literatures. Our objectives are to introduce a framework to elaborate the concept of IT-enabled BMs and to identify areas for future research that will enhance our understanding of the subject. We introduce the idea that two business-to-business (B2B) IT capabilities—dyadic IT customization and network IT standardization—are the mediating execution mechanisms between the strategic intent of interfirm collaboration and the (re)configuration of BMs to both create and appropriate value. We develop the logic that B2B IT capabilities for BM (re)configuration operate at two levels—IT customization at the dyadic relationship level and IT standardization at the interfirm network level—that together provide the complementary IT capabilities for firms to exchange content, govern relationships, and structure interconnections between products and processes with a diverse set of customers, suppliers, and partners. We discuss how these two complementary B2B IT capabilities are pivotal for firms to pursue different sources of value creation and appropriation. We identify how a firm's governance choices to engage in interfirm collaboration and its interfirm networks coevolve with its B2B IT capabilities as fruitful areas for future research.

Keywords: IT-enabled business model;B2B IT capabilities;interfirm collaboration;governance choices;design elements;value creation;value appropriation;coevolution

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#59	0.190	capabilities capability firm firms performance resources business information technology firm's resource-based competitive it-enabled view study value infrastructure results organizational model
#222	0.157	research researchers framework future information systems important present agenda identify areas provide understanding contributions using literature studies paper potential review
#25	0.152	relationships relationship relational information interfirm level exchange relations perspective model paper interpersonal expertise theory study effects literature role social identify
#212	0.116	business digital strategy value transformation economy technologies paper creation digitization strategies environment focus net-enabled services processes insights challenges key response
#101	0.106	edi electronic data interchange b2b exchange exchanges interorganizational partners adoption transaction trading supplier factors business suppliers impact network commerce efficiency
#180	0.064	multiple elements process environments complex integrated interdependencies design different developing integration order approach dialogue framework capabilities settings building focus distinct
#13	0.053	personalization content personalized willingness web pay online likelihood information consumers cues customers consumer services elaboration preference experiment framing customized timing