THE OPEN BUSINESS MODEL IN A DYNAMIC BUSINESS ENVIRONMENT: A LITERATURE REVIEW

• Musa Khumalo Department of Engineering and Technology Management, Graduate School of Technology Management, University of Pretoria, South Africa
• Elma Van der Lingen Department of Engineering and Technology Management, Graduate School of Technology Management, University of Pretoria, South Africa

DOI:

https://doi.org/10.7166/28-3-1851

Abstract

The open business model is the integration of open innovation with a business model. It is an important bridging construct between innovation and organisational performance in public and private organisation environments. The open business model is characterised by consistent change in the pursuit of competitiveness. Organisations’ inability to navigate environmental changes and challenges successfully, or their complacency about doing so, are major issues that have proved costly or life-threatening for many firms. Organisations constantly face two issues: competitiveness, and changes in the business environment. The literature points to numerous contentions about the open business model construct, about which the professional and academic fraternities have not yet reached a conclusion. Interestingly, there is near-homogeneity in the findings that business models are naturally stable and that, therefore, the open business model requires conscious effort and ingenuity to adopt. The open business model is a rising construct of public and private organisation environments, arousing interest and raising a plethora of questions from multiple groups.