The Research On Influence Mechanism Of Business Model Innovation Factors On Core Competitiveness

With the intensification of market competition and the rapid development of technology,customer needs are constantly changing.Under this background,enterprises cannot meet the needs of the external environment relying solely on product innovation or technological innovation.Business model innovation has attracted the attention of more and more scholars,and lots of companies also obtain competitive advantages relying on business model innovation.However,how do enterprises build their own core competitiveness through business model innovation still not explicitly explored and defined by the academic community.The influence mechanism of business model innovation factor on core competitiveness is still vague and diverse.This article uses the literature research method and the case analysis method to explore the influence mechanism of business model innovation elements on core competitiveness.First,by using the literature research method,we summarize four key elements of business model innovation in the context of Internet which are Internet technology,customer value proposition,social capital,and strategic matching.Second,this paper analyzes the relationship between those four elements and business model innovation,and tries to establish links with the four attributes of core competitiveness: value,rarity,inimitability,and non-substitutability.Finally,by using a single case study,this paper analyzes the business model innovation process of LOHAS Decorative Industry Group,sums up the role of four elements in the business model innovation process,and explores the influence mechanism of the four elements on the core competitiveness.After discussion,this paper draws the following conclusions: Internet technology is a tool element of business model innovation and has its own value;customer value proposition is the motive element of business model innovation and the ability of understanding customer's value proposition is scarce;social capital is business model innovation's ability elements which is difficult to imitate;strategic matching is the safeguard element of business model innovation and is irreplaceable.As a result,companies use the following four elements of Internet technology,customer value proposition,social capital,and strategic matching to influence the core competitiveness of business model innovation from the four dimensions of value,rarity,inimitability,and non-substitutability,thus obtaining competitive advantages.