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The role of business model Innovation in the relationship of open innovation and innovation performance in a dynamic environment
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Business model innovation has gained attention in research and practice, but its antecedents and other outcomes than firm performance remain underresearched. Business model innovation can happen through the introduction of new resources, which open innovation practices could pro-vide, and is an important companion of innovations, which is argued to lift their performance. Hence this study tests a potential mediation of the effect of open innovation on innovation per-formance through business model innovation and validates a claimed particular effectiveness of open innovation and business model innovation on the success of innovations in technolog-ically turbulent environments using a dataset of 471 firms from the German contribution to the European Community Innovation Survey. This paper finds that business model innovation ben-efits from the engagement of a firm in open innovation and that the use of business model innovation positively relates to the success of a firm’s innovations in both technologically stable and turbulent environments. Business model innovation furthermore facilitates the beneficial effect of open innovation on innovation performance. Finally, technological turbulence does neither moderate the relation of OI nor the one of BMI to innovation performance. The findings offer managers important insights for the success of new products as well as guidance for the effective utilization of open innovation practices.
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Business model innovation Open innovation Innovation Innovation performance Environmental dynamism Technological turbulence Causal mediation analysis