QUESTIONING THE NOVELTY IN A NOVEL BUSINESS MODEL: HOW DOES STRATEGIC ORIENTATION TEMPER FIRM PERFORMANCE?

Abstract

Building on a robust data set of 281 manufacturing and service firms in the UK, the paper offers an empirical analysis of relationship between the three strategic orientations and novel business model (BM). The paper plugs the gap around design and implementation of new BM and role of diverse strategic orientations. The empiric in the paper is supported by structure equation modelling and findings confirm the validity of the model thereby providing theoretical support around complexity of BM and its relationship with three strategic orientations. In the light of strategic importance around renewed business model, our paper is a timely contribution to understanding some of the antecedents of novel business model, its link to business performance and implementation of BM across firms in manufacturing and service sectors.