Innovation through institutionalization: A service ecosystems perspective |
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| Institution: | 1. University of Hawai''i at Manoa, Shidler College of Business, 2404 Maile Way, Honolulu, HI 96822, USA;2. California State University Monterey Bay, College of Business, Valley Hall Suite A, 100 Campus Center, Seaside, CA 93955, USA;3. University of Denver, Daniels College of Business, 2101 S. University Boulevard, Suite 491, Denver, CO 80208-8942, USA;1. School of Business, Universidad Adolfo Ibáñez, Santiago, Chile;2. School of Advertising, Marketing and Public Relations, Queensland University of Technology, Brisbane, PO Box 2434, Brisbane Queensland 4001, Australia;1. Department of Marketing, Oulu Business School, University of Oulu, P.O. Box 4600, 90014 Oulu, Finland;2. Department of Marketing, Lancaster University Management School, Lancaster LA1 4YX, UK;3. Department of Marketing, Oulu Business School, University of Oulu, FIN-90014 Oulu, Finland;1. Instituto Universitario de Lisboa (ISCTE-IUL), Business Research Unit (BRU-IUL), Av. das Forcas Armadas, 1649-026 Lisbon, Portugal;2. School of Marketing, Curtin Business School, Curtin University, Bentley, WA 6102, Australia;1. School of Management and Marketing, Charles Sturt University, New South Wales 2795, Australia;2. UWA Business School, The University of Western Australia (M263), 35 Stirling Highway, Crawley, WA 6009, Australia;3. Swinburne Business School, Swinburne University of Technology, Hawthorn, Victoria 3122, Australia |
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| Abstract: | This article explores the role of institutions in innovation from a service-ecosystems perspective, which helps to unify diverging views on innovation and extend the research regarding innovation systems. Drawing on institutional theories, this approach broadens the scope of innovation beyond firm-centered production activities and collaboration networks, and emphasizes the social practices and processes that drive value creation and, more specifically, innovation — the combinatorial evolution of new, useful knowledge. Based on this ecosystems view, we argue for institutionalization – the maintenance, disruption and change of institutions – as a central process of innovation for both technology and markets. In this view, technology is conceptualized as potentially useful knowledge, or a value proposition, which is both an outcome and a medium of value co-creation and innovation. Market innovation, then, is driven by the combinatorial evolution of value propositions and the emergence and institutionalization of new solutions. |
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