Innovative business models have been linked to superior firm performance in prior research. The current research examines business models in the wine industry to identify characteristics related to innovative models and external influences that can moderate innovation. We empirically examine innovative ways in which firms design the customer interface portion of their business model. This part of the business model is vital to persuade customers as to the value of the firm’s offerings. We suggest that a major factor wineries use to differentiate from one another relates to innovative business model designs of their customer interface. We hypothesize that innovation has a positive relationship with the extent to which customer information is collected/used and experimentation. There are also forces that work against innovation; inertia is included in this research as a moderator. Firms are pressured to conform to industry standards and this hinders innovation. Evolutionary theory provides the overall theoretical framework focusing on variation.
Brannon, David L.
"IDENTIFYING INNOVATION IN BUSINESS MODELS: A WINE INDUSTRY STUDY (INTERACTIVE PAPER),"
Frontiers of Entrepreneurship Research: Vol. 31
, Article 16.
Available at: http://digitalknowledge.babson.edu/fer/vol31/iss12/16