A digital innovations-driven regeneration model and corporate sustainability

Abstract

The traditional ways of doing business have been changed by digital innovations such as the Internet of things, blockchain and digital currency, data analytics, artificial intelligence, robots, additive manufacturing, etc. Firms can stay competitive using the benefits of digital technologies. The spread of the coronavirus disease in 2019 (COVID-19) all over the world has created a better understanding of the importance of organizations’ ability to keep up with digital innovations. In this study, a method for digital innovations-driven business model regeneration is developed and a dynamic business model, which can also be used in the business model regeneration process, to examine the effects of digital innovation strategies on the corporate sustainability is proposed. For this purpose, the existing literature on the business model innovation and system dynamic are examined, and the empirical data are collected from 44 managers using semi-structured interviews to complement gaps in the literature. Moreover, the digital innovations-driven business model regeneration method, which is proposed in this study, is applied to a real case. This study extends the literature on the business model innovation and the dynamic business model. The study can provide strategy analysts and managers with an opportunity to analyze the effects of potential digital innovation strategies on their current business models and to explore the most effective digital innovation strategies in order to regenerate their business model to gain a competitive advantage over their competitors or to sustain their business in light of technological developments.