JeongHo Yang

Growth of a platform business model as an entrepreneurial ecosystem and its effects on regional development

ABSTRACT This paper analyses the dynamics of platform business models as an entrepreneurial ecosystem and its effects on regional development. Here, we seek to answer the following research questions: (1) What effects do platform business models have on regional development? (2) What factors and structures affect the dynamics of platform business models? (3) How can we describe the dynamics of platform business models in app stores and hotel-booking industries? To answer these questions, the authors first analysed two platform entrepreneurial ecosystems in the smartphone app store industry (Google Play’s Android market and Apple’s App Store) and two ecosystems in the hotel-booking industry (Hotels.com and Booking.com). Second, we analysed the effects of platforms as entrepreneurial ecosystems on the regional development of Daegu Metropolitan City. We used in-depth interview methods with a semi-structured questionnaire, system dynamics (SD) simulation, a literature review, and a statistical analysis as research methods. The results of these analyses yielded the following findings. First, platform business models as economic ecosystems motivate a change of regional development from focused areas to multiple areas, from a hierarchical structure of firms to a network of diverse firms, and from scope and scale economy-based firms leading regional development to creative economy-based firms leading regional development. Second, we identified three category factors that were important in a platform ecosystem, and built up and simulated causal and SD models of these factors. Third, we found that the dynamics of platform ecosystems differ from platform to platform because the openness of platforms produces different effects on firms according to the industry to which they belong.

Open Innovation to Business Model: New Perspective to connect between technology and market

The main objective of this article is to answer the question: How does one make a ‘new’ business model framework in a knowledge-based economy? In an effort to advance this issue, we built a research framework based on literature reviews. In addition, we performed social experiments at DGIST during 2011–2015 to arrive at a new business model framework. There are four different active business model-building processes. First is the customer open innovation-based business model developing circle. Second is the user open innovation-based business model developing circle. Third is the social entrepreneurship-based business model developing circle and fourth is the engineer open innovation-based business model developing circle. Empirical research to confirm the operation status of business model approaches, the study makes use of patents database.

Open Innovation Effort, Entrepreneurship Orientation and their Synergies onto Innovation Performance in SMEs of Korea

While open innovation has become a popular strategy to enhance innovation in firms, open innovation in the context of entrepreneurship is not yet well understood. Particularly in small- and medium-sized enterprises (SMEs), the necessity of understanding the role of entrepreneurship combined with open innovation is much greater. This research focuses on the role of entrepreneurship in the open innovation process and its impact on innovation performance. Our primary research question is: What are the impacts of open innovation, entrepreneurship and their synergy effects onto innovation performance, especially onto Korean Information Technology (IT) SMEs? To answer this question, a survey was conducted about open innovation, entrepreneurship orientation, business models and sales, and innovation performance for approximately 400 Korean SMEs in the IT sector. The regression results and findings from the analysis are presented and discussed.

Knowledge strategy and business model conditions for sustainable growth of SMEs

Purpose – The purpose of this study is to figure out the factors for sustainable growth of small- and medium-sized enterprises (SMEs). Design/methodology/approach – In all, 27 SMEs in the area of IT (Information Technology) in Korea were analysed through interview method basically. Findings – It is found that sustainable development of SMEs requires two kinds of open innovation which are knowledge strategy and business model. According to developing process, SMEs change their open innovation strategy in knowledge strategy and business model. The highest growth limit of SMEs depends on open innovation in knowledge strategy and business model in sequence from closed innovation in both, through open innovation in both, to open innovation in knowledge strategy and closed innovation in business model and to closed innovation in knowledge strategy and open innovation in business model. Research limitations/implications – First, the present study was conducted with IT sector SMEs in Korea. It is true that the IT...

The philosophy of “open innovation”: Historical development of the philosophy of open innovation and its reflection from Taoism

Purpose The purpose of this paper is to explore the ideological foundation of open innovation strategies and the open business model, which are appearing as new industrial paradigms based on information technology (IT). Design/methodology/approach First, this paper examined the ideological foundation of Deleuze, Whitehead, and Popper. Next, Taoism was scrutinized to discover concrete bases for open innovation. Findings Here, it was found that Taoism completely coincides with the logical basis of open innovation. The theory “the supreme good is like water” of Taoism means to vacate oneself and fill the space with others to create paradoxes, thereby filling oneself with a more creative method. Originality/value Taoism provides a way to present paradoxes through the idea of vacating and opening to reach a creative stage of leaving nature as it is.