Cheuk Hang Au, Po-Hsu Shieh, Vladimir Nurbaev, Kris M. Y. Law ¡ 5 authors
Digital platforms face a fundamental paradox: while expanding service variety is a dominant competitive strategy, it risks inducing a âparadox of choiceâ that confuses and deters users. This tension manifests with extreme clarity in the nascent, high-complexity market of cryptocurrency exchanges, creating a pressing empirical puzzle. To resolve this, we adopt the Stimulus-Organism-Response (SOR) perspective in a three-stage mixed-method study to investigate how platforms can strategically manage this trade-off. Our qualitative exploration (Study 1) established a capital flow schema called âinflow, roll, and goâ and identified key complexity-reduction mechanisms. A subsequent survey (n = 190, Study 2) validated that perceived innovativeness and scalability are critical stimuli for service variety, which in turn drives user continuance intention. A final survey (n = 140, Study 3) confirmed that users prioritise services that bridge to the traditional financial system, forming a minimal viable structure with a variety of functions. Our meta-inferences make several key contributions, including the resolution of the service variety paradox by introducing a theoretical distinction between value-adding âreal-varietyâ and confusing âpseudo-varietyâ and the development of a strategic roadmap that guides exchanges in navigating the tension between service expansion and user confusion, offering actionable insights for platform strategy in any high-velocity digital market.
<p><span lang="EN-US" style="font-size: 10.0pt; mso-bidi-font-size: 11.0pt; line-height: 115%; font-family: 'Times New Roman',serif; mso-fareast-font-family: ĺŽä˝; mso-ansi-language: EN-US; mso-fareast-language: EN-US; mso-bidi-language: AR-SA;">Amidst the rise of Web3, a technology transforming user interactions and challenging corporate control, this study uses a hybrid model of appreciative inquiry that matches the remote and decentralized nature of Web3 communities, to investigate the formation of a blockchain startup and its emergent culture and values. Despite limited resources, the company has built a diverse, global community via digital platforms, exceeding stakeholder expectations. This appreciative inquiry uncovers a community manifesting five core values: excellence, sustainable innovation, inclusivity, continuous learning, and creativity, challenging stereotypes often associated with the Web3 industry. This work advances participative research by introducing a hybrid model of appreciative inquiry tailored for remote and decentralized Web3 communities. By adapting appreciative inquiry to the unique dynamics of blockchain-dependent organizations, this study extends the methodology&rsquo;s applicability and demonstrates its effectiveness in uncovering and fostering core communal values within cutting-edge technological contexts.</span></p>
This paper sets out to explore how blockchain-based technologies, particularly non-fungible tokens (NFTs), are influencing future business models. Drawing on the relevant literature and a multiple case study of blockchain ventures, we demonstrate how the technology leads to new polyadic mechanisms of value creation and value capture. A clarification of NFTs and related concepts, together with their use values and exchange value determinants, led us to argue that the polyadic mechanisms differ from those in dyadic and triadic business models. Overall, we identify a total of 39 NFT technology affordances that fall into four types: utility, social, financial, and legal affordances. In addition, the NFT business ecosystem is mapped in terms of sources of generativity, mixed-side network effects, and the convergence of complementors within the ecosystem. Finally, this study explores three distinct mechanisms of stakeholder collaboration using NFTs: token distribution and fundraising, polyadic value creation and capture, and smart contract-enabled facilitation of stakeholder interactions. Based on the insights, we discuss the impact of NFTs and blockchain technology on society (illustrated by two cases of NFT ticketing and decentralized apps), and the implications for theory, practice, and policy. ⢠Blockchain technology enables newly emerging business models with polyadic relationships. ⢠Novel business models in Web 3.0 environments involve multiple use values and exchange value determinants. ⢠NFT Technology affordances identified in terms of utility, social, financial, and legal affordances. ⢠The emerging ecosystem is characterized by sources of generativity, mixed-side network effects, and convergence.
This conceptual paper contributes to the nascent Web3 marketing stream via offering a novel typology of Non-Fungible Tokens (NFTs) as blockchain-enabled digital offerings. Grounded in a customer-centric approach to marketing strategy, our 2 Ă 2 typology suggests that NFTs vary in terms of the value on offer (i.e. value-in-use/value-in-exchange) and the strategic focus pursued by firms/creators (i.e. transactional/relational). Four main types of NFTs thus emerge: 1. Validation certificates; 2. Digital replicas; 3. Immersion enablers; and, 4. Digital upgrades. For each NFT type, we discuss their distinctive features, the opportunities they offer and their shortcomings, before detailing their strategic implications. Our typology offers researchers and practitioners who want to engage with the Web3 space a solid grounding for understanding the implications of deploying different types of NFTs from a strategic marketing perspective.
Open access
2 source records
Service and Product Innovation
Blockchain Technology Applications and Security
Consumer Behavior in Brand Consumption and Identification
Virginia Springer, Krithika Randhawa, Marin Jovanovic, Paavo Ritala ¡ 5 authors
Industrial business-to-business (B2B) platforms are meta-organizations (i.e., organizations of organizations) that typically integrate digital assets with physical products such as machinery or equipment, often operating in specialized contexts with a limited network of complementors and end users. These characteristics distinguish B2B platforms from their business-to-consumer (B2C) counterparts, as they are defined by distinctive design features and governance drivers. Yet, the current platform literature predominantly focuses on B2C markets, leaving a critical gap in understanding the design and governance of B2B platforms in industrial contexts. We address this gap by adopting a meta-organizational perspective on B2B platforms in industrial markets to examine how the distinct design features of B2B platforms shape their meta-organizational governance. First, we uncover distinctive design features of B2B platforms across three dimensions: platform market, platform architecture, and cyber-physical integration. Building on these features and evidence from the emerging literature, we classify B2B platforms into five dominant archetypes: matchmaker, application marketplace, solution enabler, consortium, and decentralized autonomous platforms. Second, we theorize that the governance of these archetypes is shaped by their design features and revolves around two main dimensions: control rights (i.e., enforcement authority) and decision rights (i.e., autonomy over platform assets). These dimensions underpin distinct governance models, which we label unified, collaborative, regulated, and algorithmic governance. We consolidate these insights into an organizing framework of B2B platform governance and contribute to the literature in four ways: (1) providing a nuanced understanding of B2B platform design and governance, (2) identifying distinct archetypes and developing a framework for B2B platform governance, (3) explaining how B2B platform design features influence governance models, and (4) setting a research agenda to strengthen the design and governance of B2B platforms. By broadening our understanding of platforms as meta-organizations, we advance knowledge of how B2B platforms create and capture value in industrial markets. ⢠We examine the distinct design features of B2B platform governance. ⢠We identify five B2B platform archetypes based on their distinct design features. ⢠B2B meta-organizational governance encompasses unique control and decision rights. ⢠We identify unified, collaborative, regulated, algorithmic governance models. ⢠Each governance model is characterized by different control and decision rights.
Liudmila Zavolokina, Ingrid Bauer, Janine Hacker, Gerhard Schwabe
Many blockchain consortia have been established to build blockchain information systems. While the developed blockchain information systems were promising, few have reached market entry. Indeed, blockchain consortia often lost development focus due to high system complexity and a lack of understanding of how to create a system that will serve the needs and bring value to all stakeholders. Thus, stakeholders struggled to leverage blockchain information systems' full value. Prior studies demonstrated that blockchain systems pose not only technical but also organizational challenges. Analysing six blockchain consortia, we identify their value mechanisms, organizational problems, and organizational solutions that successful blockchain consortia experience while organizing themselves for value. As a result, we propose a new organizational form, i.e., a layered organization, for blockchain consortia to achieve better value creation. ⢠We explore the drivers of value creation in blockchain information systems based on a unique dataset including 6 consortia. ⢠We identify three subsystems within blockchain information systems: infrastructure, platform, and application . ⢠The identified value drivers are decentralization and interoperability ⢠We identify organizational problems and organizational that successful blockchain consortia employ to achieve value. ⢠We propose a âlayered organizationâ as a new form of organizing for value in blockchain consortia.
Mark C. Ballandies, Valentin Holzwarth, Barry Sunderland, Evangelos Pournaras ¡ 5 authors
Abstract Organizations have to adjust to changes in the ecosystem, and customer feedback systems (CFS) provide important information to adapt products and services to changing customer preferences. However, current systems are limited to single-dimensional rating scales and are subject to self-selection biases. The work contributes design principles for CFS and implements a CFS that advances current systems by means of contextualized feedback according to specific organizational objectives. The authors apply Design Science Research (DSR) methodology and report on a longitudinal DSR journey considering multiple stakeholder values by utilizing value-sensitive design methods. They conducted expert interviews, design workshops, demonstrations, and a four-day experiment in an organizational setup, involving 132 customers of a major Swiss library. In the process, the identified design principles and the implemented software artifact were validated qualitatively and quantitatively, leading to conclusions for their efficient instantiation. The authors found that i) blockchain technology can afford four design principles of effective CFS. Also, ii) combining DSR with value-sensitive design methods explicitly provides rationale for design principles in the form of identified important values. Moreover, iii) combining DSR with value-sensitive design methods makes the construction of software artifacts more efficient it terms of design time by restricting the design space of a software artifact to those options that align with stakeholder values. The findings of this work thus extend the knowledge about the design of CFS and offer both researchers a theoretical contribution to reasoning about design principles and managers and decision makers a guide for the efficient design of software artifacts.
Imagine if owning a specific baseball card gave you the privilege of attending their home games. Or that having attended previous Taylor Swift tours entitled you to purchase tickets for her next tour. What would that be worth, and how would that change the way in which you relate to the brand or to the artist? This article examines the case of the Bored Ape Yacht Club (BAYC), a prominent Non-Fungible Token (NFT) community. The investigation reveals the multifaceted nature of NFTs, which can act as keys to access exclusive clubs and privileges, and as independent products whose value is inherently linked to market dynamics. By doing a deep dive into one of the most prominent NFT communities, BAYC, this work underscores the potentially transformative effects of NFTs on consumer experience, providing a deeper understanding of value co-creation in the rapidly evolving decentralized landscape.
Open access
Service and Product Innovation
Consumer Behavior in Brand Consumption and Identification
Nick GroĂe, Frederik MĂśller, Thorsten Schoormann, Michael Henke
In times of rapid and unpredictable developments, companies experience significant volatility in capacity utilization. Virtual capacity exchange platforms help to mitigate this challenge by exchanging capacities with anonymous participants in market-like peer-to-peer networks. However, its efficiency is hindered by behavioral uncertainties, including a lack of inter-organizational trust in other participants. To leverage the potential of such exchange platforms, this paper reports on a Design Science Research project aiming to derive and validate design principles for establishing trust in inter-organizational capacity exchange in two design iterations. Using blockchain technology, we instantiate six design principles into an artifact and perform experimental evaluations to investigate their effect on perceived trust. Our paper contributes to research and practice by identifying and applying prescriptive design knowledge and advancing our understanding of how to design trust-enabling inter-organizational systems. The originality lies within the empirical investigation of how and why different design principle combinations can be established through blockchain technology as one of the promising approaches for establishing trust. In doing this, we also disclose future pathways for IS and blockchain researchers and practitioners.
Collaborative Enterprise (CE) comprises of organizations that adopt digital platforms to achieve shared goals.In CE the prospect of Distributed Ledger Technologies (DLT) such as blockchain is reliant on its capability to integrate with other systems to improve organizational operations.But the inability for different blockchains to communicate with one another is an inherent issue as it puts a strain on the mainstream deployment of blockchains in CE.Therefore, this study presents a standardized architecture to support DLT interoperability and intraoperability within CE.A structural review was conducted after which design science research methodology was adopted to validate the architecture.
Non-fungible tokens (NFTs) have sparked questions about value. The mystery created by the millions of dollars paid for some NFTs while others are virtually worthless challenges our understanding of what constitutes value. In our attempt to shed light on the value of NFTs, especially during their dramatic rise in the early 2020s, we develop a theoretical analysis of the extrinsic factors shaping NFT value based on a perfect storm of individual, social, marketing, and environmental factors. After detailing the effects of each of these factors in shaping NFT valuation, we develop a new understanding of value in a frenzy of celebrity influence, social media, decentralized authority, unregulated markets, marketing hype, and media magnification. We also articulate the intrinsic factors that still affect value as well. Finally, we offer advice on how to make sense of value creation and perceptions of the NFT bubble. While our paper started as an attempt to discuss intrinsic object-based valuation, we found that in the NFT bubble economy and its aftermath, extrinsic, social, and situational factors came to dominate valuation. We end the paper by outlining a research agenda that can push our understanding of the impact of such factors as cryptocurrency and metaverse markets develop.
Open access
3 source records
Art History and Market Analysis
Consumer Behavior in Brand Consumption and Identification
Although academic and practical interest in non-fungible tokens (NFTs) has continuously increased over the last few years, there is still a need to better understand their social acceptability. The aim of the study was to explore the double edge of NFT legitimacy for NFTs by unveiling the role of sustainability and by adopting technology legitimacy and the field of sustainability transition studies as a theoretical lens. Specifically, this research investigates the role of sustainability in securing and maintaining technology legitimacy within NFT projects. We interviewed 12 experts through exploratory qualitative research. The findings highlight three main ways in which sustainability participates in the legitimation of NFT projects. While sustainability can be inherent in the NFT project itself, this legitimation can also be derived from the perceived sustainability of the NFT technology or be part of innovative business models. Theoretical contributions and managerial implications are then discussed. JEL CODES: O33, O35, O50
Abstract Distributed ledger technologies (DLTs) are considered one of the foremost emerging technologies which can contribute to transform cities to smarter cities. DLT play important role in municipalities to accelerate the digitalization process toward changing the roles and services of enterprises in sustainable smart cities. Standardization of DLTs aids to reduce data and digital assets silos while decreasing vendor lock-in across distributed applications enabling a digital urban ecosystem that supports migration capabilities making it possible for cities to seamlessly achieve interoperability among DLTs and centralized digital platforms, although a few standards such as IEEE 2418, IEEE P2418.5, and ISO/TC 307 have been developed. The alignment and integration mechanisms required to support standardization of DLT for interoperable services in smart cities is lacking. Therefore, this study presents an understanding on current and open issues on standardization of DLTs in sustainable smart cities with a specific focus on data integration and alignment efforts related to interoperable DLTs. A framework is developed to promote standardization of DLTs to support integration and alignment for interoperability in smart cities. Design science research methodology was adopted based on three use case scenarios which illustrates how IOTA tangle is employs as a DLT for secured standardized communication between physical sensors, devices, and digital platforms in smart city environment. Findings from this article provide exploratory evidence demonstrating the potential uses of IOTA tangle through the developed framework applied for decentralized and centralized digital services. Based on this evidence, this study provides interface integration and alignment strategies to better exploit distributed applications full potential by improving DLT standardization in urban environment.
Distributed Ledger Technology (DLT) has the potential to transform the agri-food sector, empowering rural and underserved farming communities by enabling the creation of a more environmentally sustainable and socio-economically inclusive food system. Several PoC and pilot projects are running all over the world to test this specific use case. However, the success rate of these initiatives is still limited. A critical analysis of the state-of-the-art suggests as a possible explanation for the observed trend that the current research approach to DLT for agriculture is mostly technology-driven. This limits our ability to develop solutions that provide benefits to the communities theyâre meant to serve, while potentially increasing inequalities and further marginalising these underserved groups. Achieving a sustainable and inclusive food supply chain entails a paradigm shift that goes beyond technological development to address how technology is socially constructed, thus implying the need for designing DLT applications around and together with users. By adopting a user-centred perspective to technology-enabled innovation, design can help shift the agri-food industry from being tech-centred to being people-centred. To explore the potential contribution of design for facilitating transformation and technology-enabled social innovation in the agri-food sector, we conducted a case study involving Portuguese small farmers which resulted in DigiFarm, a blockchain-based service concept. In this article, we detail the methodology adopted for the scoping and ideation of DigiFarm, concluding with a discussion highlighting the added value of adopting a design-driven approach to research and practice on DLT applications in the agri-food sector.
We examine whether business model concepts, that demonstrate significant convergence to Distributed Ledger Technology (DLT) attributes, fit to DLT ecosystem characteristics and identify similarities and deflections. We answer the question whether the appropriate DLT business model is totally unique or adjustable and what conditions need to be met. The study follows a conceptual approach that is based on critical examination of three business model types that demonstrate similarities to the business model that an organization needs to adopt in order to fit in DLT ecosystem characteristics. Although each one of the network, digital and information business model types demonstrate similarities to DLT business model and reveal some resemblance with it, there are critical parameters that are neither addressed nor partially met. The main contribution of study is the exploration of the adjustable nature of the DLT business. Moreover, we highlighted the challenge for DLT ecosystem sustainability, defined and reviewed the conditions that need to be considered for DLT business model design.
The norms and systems of the fashion industry tend to support a small class of brands and designers creating fashion while the public takes on the role of passive consumer. The rise of digital fashion and a new sector of âdigital-onlyâ fashion brands now provides unique ways for consumers to interact with fashion online, from buying wearables for digital gaming avatars, to wearing a digital dress on social media, to investing in non-fungible tokens (NFTs) â digital assets based on blockchain technology, bought and sold online. Digital-only fashion brands are reimagining the hierarchical relationships between brand and consumer towards one of empowerment and mutual value via decentralized co-design platforms. Such endeavours allow brands to build community and challenge the ownership and authorship conventions in the fashion industry. Co-design has been widely used by fashion brands as a strategy that promotes involvement from the public/consumer in creating customized and made-to-order products and experiences. Using established theories of participatory art, an approach to making art which engages the public and communities in the creative process, this article explores how digital-only fashion brands are creating more participatory models of fashion co-design. To confirm and further explore this theory and to consider how a participatory model is achieved in practice, a qualitative case study was conducted on The Fabricant Studio, a collaborative digital fashion atelier. The findings reveal new methods of co-design used by digital fashion brands that allow consumers to design and monetize their craft while retaining creatorsâ ownership. The application of the theory also underscores the importance of creative control and decision-making in the fashion co-design process to ensure it is truly participatory vs. interactive. The Fabricantâs methods to educate users through accessible platforms contribute to the diversification of co-designers and digital fashion designers in general.
Non-Fungible Tokens (NFTs) have reached enormous levels of interest all over the world; The attraction was huge besides buying or creating an NFT. However, the actual use requires consideration of many aspects and sources to make decisions and engage in the NFT market. Moving forward and selecting what to create or where to buy, it is necessary to assess the NFT and whether it is worth investing in or not. On the other hand, Metaverse has become a trending topic and market interest has increased dramatically. However, NFT is crucial to enable the Metaverse; NFT approved its essential to the success of Metaverse adoption. In conclusion, this choice is complicated, especially when it involves extensive knowledge and information from different sources and perspectives (Engineering and Social Science). Some aspects are related to the customer experience and trust, and others are more likely to be asset-related. As we look at the blockchain market, we distinguish a variety of platforms and applications that can be used conveniently, presenting numerous options and possibilities. That brings to mind some ideas and asks some questions to assist the engagement in the NFT metaverse; When is the best moment to engage in the NFT metaverse? Is trading or engaging in the NFT metaverse trustworthy? Is it legal to use and trade NFTs, is there any need for governments to get involved? What NFT piece should create or what price to buy? What is the best and most secure platform to use? Assessing the NFTs requires deep research into different sources of controversial information and data. However, no such reference or study covers these considerations in detail; the lack of trusted resources and knowledge impacts the user experience and engagement. This paper contributes to social science studies by performing a multi-factor (comprehensive) analysis that includes the NFT Metaverse engagement decision and user behavior. We are using an extended model of the theory of planned behavior (TPB), proposing a model which includes external factors to help identify the variables that influence the engagement with NFTs in the metaverse. This comprehensive study has a multi-perspective approach; customer perspective, social perspective, technology perspective, legal perspective, and market perspective. We present extensive knowledge and information to be a helpful piece of awareness for everyone who intends to buy, invest, or create an NFT. This study uses a quantitative analysis method and provides meaningful results explaining this dilemma and the reasons behind the massive adoption of NFT and its fluctuation worldwide. This work helps the decision-makers, creators, and investors consider new development perspectives in the NFT metaverse. The methodology used primary survey data and analyzed with Smart-PLS 4 to determine variance-based structural equation modeling (SEM) using the partial least squares path modeling (PLS) method.
Jan 1, 2023¡Proceedings of the ... Annual Hawaii International Conference on System Sciences/Proceedings of the Annual Hawaii International Conference on System Sciences
Lhorie Pirnay, Claire Deventer, Victor Amaral de Sousa
Non-Fungible Tokens (NFTs) are digital certificates of ownership that can be attached to any virtual or physical item. Recently, they have become increasingly popular, especially with the advent of metaverses, virtual spaces that are shared and accessible online. Many organizations are launching NFT initiatives for a variety of reasons including retaining customers, developing new revenue streams, or demonstrating that they are keeping up with the latest technological advances. When organizations launch NFT initiatives, they provide value to NFT users in various ways, depending on the NFT characteristics. This paper is a preliminary study to understand the value offered by organizations and perceived by NFT users. We examine 46 NFT initiatives from 42 companies to determine what value can be provided to users of NFTs. The goal is to provide a basis for further analysis on the values of NFTs and to support the design of Information Systems for NFTs.
The COVID-19 pandemic highlighted the need to manage complex relations within the healthcare ecosystem. The role of new technologies in achieving this goal is a topic of current interest. Among them, blockchain technology is experiencing widespread application in the healthcare context. The present work investigates how this technology fosters value co-creation paths in the new digital healthcare ecosystems. To this end, a multiple case study has been conducted examining the development and application of blockchain by 32 healthcare tech companies. The results show blockchain technology adoption's current and potential impacts on value co-creation regarding data and resource sharing, patient participation, and collaboration between professionals. Three main areas of activity emerge from the case studies where blockchain implementation brings significant benefits for value co-creation: improving service interaction, impacting actors' engagement, and fostering ecosystem transparency.
Purpose The study aims to investigate the impact of technological innovation, such as blockchain, in the music field from a value co-creation perspective, highlighting how it is determining a radical change in the business model and value creation process. Design/methodology/approach To shed light on how blockchain adoption is reconfiguring the music industry, the authors adopted a qualitative-based approach based on a case study, allowing us to investigate value co-creation at three levels (macro, meso and micro) through exchange and integration of multi-actor resources. Findings The authors found that blockchain adoption in the music industry can singularly shape the business model, representing a powerful tool to enhance inter-organizational cooperation in value creation. It effectively deals with operational and business issues, besides financial transactions, profoundly impacting both the creation and distribution of value within the supply chain. Research limitations/implications The research contributes to a better understanding of innovation adoption in a specific setting, the music industry, giving support and guidance for players working in this ecosystem. The blockchain-music link helps close the gap between music and society through technology, thus providing a foundation for future research. Originality/value The paper provides new insights into the antecedents and mechanisms of value co-creation, spanning macro-, meso-, and micro-levels of context. It also illustrates the factors underpinning Bitsong viability to embed the value co-creation perspective in designing the business model within a value network.