The main objective of my research was to see how the replication of a business model is realized in the different environmental velocity context. Considering the acceptance of environment in generally as one of the idiosyncratic or unique factors, I wanted to see the way the replication of the same business model is done across different geographies.I have researched the replication of the same business model in 3 countries different environmental velocity regimes.
The main results are:
1) Low velocity markets tended to “copy exact” replication and high velocity market to rather “flexible”.
2) The flexible replication occurred on the later stages of the replication, when the copy-exact replication failed.
3) Velocity regimes influenced the decision-making freedom
4) The process of the replication flexibility was inspired by the replica. Local inventions were borrowed later by the template source and integrated when replicating on other markets.During my thesis I have mobilized the multiple case studies, analysis of archival data and semi-structured interviews.
I see the contribution of the work for business audience in the considerations to include environmental velocity regimes while proceeding to the replication. High velocity environments may call for immediate flexible approach to replication. The contribution to the academic researches may be seen primarily in 3 ways:
1) The flexible replication may be justified in certain conditions. The exact replication despite seen as more beneficial could lead to failure (Winter & Szulanski, 2001).
2) The flexible approach in the cases of high velocity environments can be instigated not by the template source, but by the replica itself
3) The high velocity environments motivate the higher freedom in decision making, that leads to flexible replication
I see the number of limitations in the current research:
The sample of the countries is still restricted and can be enlarged to better represent the variety within the company. There is a considerable difficulty in detecting “Patient Zero” or source business model. There is considerable difference in experience/positions of interviewees across the locations.
As for the potential topic for further research beyond the inclusion of more countries, representing broader field of a company, a quantitative research could be valuable, to bring more representation to the results. Moreover, the research can include the replication choices in the relationship with the company performance, rather than product as the embodiment of value offer.
Keywords: Business models, replication, franchising, environmental velocity
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