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Chapter 2: Literature review 36 _______________________________________________________________________________________________________________________________________________ First, with limited resources, confronting all of the well-known liabilities of attempting something new, success often depends on access to specialized knowledge and resources that lie outside the entrepreneur's ownership or control. In a hyper-competitive environment, buying or building may not be attractive or even viable options. Second, success often critically depends on the innovations and actions of others who complement the entrepreneur's offer. Prior experience with the customer and supplier relationships of a traditional supply chain is inadequate preparation for the challenges of managing complementors. Third, these critical assets and complementors – as well as suppliers, customers, and competitors – can be located anywhere in the world. The environments in which technology entrepreneurs operate are at once global and densely interconnected. Following this argument, business ecosystems are a means for technology entrepreneurs to break free of constraints arising from scarce resources, technological limitations, and lack of legitimacy and status. Likewise, for technology entrepreneurs, business ecosystems can be an enabler of rapid globalization (Bailetti, 2012) to break free from constraints of locality, faster learning (Bailetti & Bot, 2013) to break up constraints of limited knowledge and know-how, and accelerated business model discovery (Muegge & Mezen, 2017) to break free of the conventional status quo for doing business. Other perceived constraints follow from the limitations of hierarchies and markets, and from traditional ways of organizing production. The constraints imposed by integral designs may be broken up by modularity (Baldwin & Clark, 2000), enabling specialization and differentiation by niche players within an ecosystem (Iansiti & Levien, 2004). The constraints imposed by traditional intellectual property rights (Lessig, 2004) may be broken up by peer production (Benkler, 2002), open source licensing and bazaar development processes (Raymond, 2001; Weber, 2004), collaborative innovation (von Hippel, 2005; Baldwin & von Hippel, 2011), and platform innovation (Gawer, 2014; _______________________________________________________________________________________________________________________________________________ Copyright © 2018 Ewan ReidPDF Image | Carbon Removal
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