Business model innovation and generative AI: Multiple-case study

Abstract

Generative AI technologies, represented by prominent tools such as ChatGPT, Midjourney, DALL-E-2, have emerged as a new opportunity not only to improve the productivity of knowledge work but also for more overarching business model innovation. Business model innovation involves proactively changing or re-configuring the way firms implement their various business model components. To investigate the emerging potential, we launched in a multiple-case study of forerunner companies that have engaged in business model innovation enabled by Generative AI, both in the local and international markets. Our nascent findings suggest that firms have the opportunity to redesign their value creation and organizational processes thanks to Generative AI. They may also push Generative AI to their product features and formulate new compelling value propositions. Based on our study, we propose tangible steps for companies to take to get started with Generative AI –enabled business model innovation activities.