The Two Sides of Open Business Models

25 Pages Posted: 10 Jan 2009

See all articles by Francesco Domenico Sandulli

Francesco Domenico Sandulli

UCM-Orange Chair, Complutense University of Madrid

Henry Chesbrough

Harvard University - Entrepreneurial Management Unit; University of California, Berkeley - Haas School of Business

Date Written: January 10, 2009

Abstract

Traditional closed business models have recently shown their limitations. In this paper we explore the role of key resources, and how they can be aggregated into open business models. We first examine how the nature of key resources influences the development of these models. We pay particular attention to whether the resources are rivalrous or non-rivalrous, and whether they are excludable or not. We outlined to the two faces of open business models, considering the buy side and the sell side of how resources are accessed and leveraged respectively in such models. We examined one organization in more detail, the El Bulli restaurant, to provide an indepth illustration of both sides of that firm's business model, and show its adaptability.

Keywords: Value Creation, Capture, and Appropriation, Resource-based View, Alliance Strategies, Open Innovation

JEL Classification: B1

Suggested Citation

Sandulli, Francesco Domenico and Chesbrough, Henry, The Two Sides of Open Business Models (January 10, 2009). Available at SSRN: https://ssrn.com/abstract=1325682 or http://dx.doi.org/10.2139/ssrn.1325682

Francesco Domenico Sandulli (Contact Author)

UCM-Orange Chair, Complutense University of Madrid ( email )

Carretera de Humera s/n
Madrid, Madrid 28223
Spain

Henry Chesbrough

Harvard University - Entrepreneurial Management Unit ( email )

Cambridge, MA 02163
United States
617-495-5037 (Phone)
617-496-4072 (Fax)

University of California, Berkeley - Haas School of Business ( email )

545 Student Services Building, #1900
2220 Piedmont Avenue
Berkeley, CA 94720
United States
510-643-2067 (Phone)

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