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Some Challenges Encountered in Value Creation and Capture Read chapter Read first chapter

2022 | OriginalPaper | Chapter

6. The Supply-Chain Ecosystem of a Firm

Authors : Jeffrey Yi-Lin Forrest, Yong Liu

Published in: Value in Business

Publisher: Springer International Publishing

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Abstract

This chapter, which is mainly based on (Forrest et al., 2019, Proceedings of the 2019 annual conference of decision sciences institute, New Orleans, LA), investigates holistically such a business system that consists of market invitations, the ecosystem of a focal firm’s supply chain, the firm’s innovative recognition of the market signals, and challenges consequently imposed on the ecosystem. By employing the thinking logic and methodology of systems science, we establish a series of general conclusions regarding innovative firms’ internal and environmental challenges. In particular, we show that a firm’s upstream component challenges and downstream complement challenges place respectively a cap on how much “value” the firm can create and capture. Thus, the more capable a focal firm is at identifying these challenges, the more adept this firm will be in creating and sustaining marketplace advantage as well as imposing greater challenges on its ecosystem. A firm’s strong capability to learn and act accordingly is, in itself, an advantage. Upon the conclusion of our analysis, practical managerial significance of this chapter and open questions for future research are given.

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previous chapter Evolution of Resources: An Axiomatized Resource View
next chapter Upstream/Downstream Impacts on a Firm’s Performance
Appendix
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Metadata
Title
The Supply-Chain Ecosystem of a Firm
Authors
Jeffrey Yi-Lin Forrest
Yong Liu
Copyright Year
2022
Book
Value in Business

Print ISBN: 978-3-030-82897-4

Electronic ISBN: 978-3-030-82898-1

Copyright Year: 2022

DOI
https://doi.org/10.1007/978-3-030-82898-1_6