Digital Innovation Strategy

Based on applied economics and from the perspective of an innovator seeking to develop a new digital business, this textbook is aimed at MBA and advanced undergraduate audiences interested in innovation strategy and competition in digital industries. Step-by-step, the book guides innovators through a dynamic market analysis and business model design, leading to an assessment of the future evolution of the market and the broader innovation ecosystem, and what the innovator can do to position the innovation for continued success. Each chapter defines and provides references for key concepts that can be further explored through suggested readings and study questions. Real-world case studies further facilitate forming a comprehensive view on how to resolve strategic challenges of digital innovation. The topics covered in this text are essential for a broad range of managers, consultants, entrepreneurs, technologists, and analysts to understand in depth.

Part I. Introduction: 1. What is Special about Digital Business Innovation?; 2. Digital Disruption; 3. Disruptive Communication Networks; Part II. Information Products and Sources: 4. Production of Information Goods; 5. Pricing of Information; 6. Consumption of Information; 7. Building and Commercializing Data Assets; 8. Business Model Design for Information Goods; Part III. Networks: 9. Networks and Systems; 10. Network Competition; 11. Platform Strategies; Part IV. Organizing Digital Innovations: 12. The Inverted Firm; 13. Digital Business Models; 14. Business Model Framework; Part V. Gaining Ecosystem Momentum: 15. Launching a New Digital Business Model; 16. Sources of Competitive Advantage in Digital Ecosystems; 17. Intellectual Property Rights and Digital Technologies.

Aija Leiponen is a professor of Strategy and Business Economics in the Cornell University SC Johnson College of Business. She is an internationally renowned scholar of innovation and technological change. Straddling the fields of economics and strategic management, her work on digital innovation has been published in leading academic outlets and management reviews and has influenced both digital policy and managerial practice.