An effectuation and causation perspective on the role of design thinking practices and digital capabilities in platform-based ventures

https://doi.org/10.1016/j.techfore.2023.122646Get rights and content
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Highlights

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    This study assesses how the design thinking principles influence innovation theories.
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    Digital capabilities (DCs) are critical in new platform-based ventures to drive performance.
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    DCs mediate between effectuation and causation’s effect on venture performance.
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    Design thinking ways are well integrated into the theories of effectuation and causation.
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    Platform-based venture performance is affected by the experience of the entrepreneur.

Abstract

The evolution of digital platforms and related ecosystems has led to a new and essential context of entrepreneurship. Previous studies have revealed that although high-tech new ventures possess cutting-edge technology, they face significant challenges because of vital resource constraints and limited management capability. Design thinking practices have emerged as a prominent problem-solving approach offering innovation benefits during high uncertainties. However, in the context of high-tech ventures, more research is needed on linking the relationship between design thinking principles, innovation theories (effectuation and causation), and firm performance. The present study investigates how the design thinking principles influence innovation theories and whether it leads to improved high-tech venture performance. Based on a survey of 291 platform-based start-ups in India, the results show that design thinking ways are well integrated into the theories of effectuation and causation, facilitating the growth of platform-based ventures. However, the influence of effectuation and causation on platform-based venture performance is found to be mediated through the digital capabilities acquired by these ventures.

Keywords

Entrepreneurship
Platform
Effectuation
Causation
Digital capabilities
Design thinking

Data availability

Data will be made available on request.

Cited by (0)

Sachin Kamble is a Professor of Strategy (Operations and Supply Chain Management) at EDHEC Business School, Lille, France. He holds a Ph.D. in Management, MBA in Operations and a bachelor's degree in Mechanical Engineering. Before joining EDHEC worked with National Institute of Industrial Engineering (NITIE) Mumbai, India. Dr. Sachin's teaching and research interests include Operations Management, Supply Chain Management, Big Data Analytics, Industry 4.0 and Digital transformation. He has >50 authored/co-authored publications in referred international journals. He has done >25 consultancy assignments for leading manufacturing and service organizations representing different sectors. He has also designed and executed various executive development programs for senior level executives in the area of operations and supply chain management.
Nripendra P. Rana* is a Professor in Marketing at the College of Business and Economics, Qatar University, Doha, Qatar. Previously, he was a Professor at the School of Management at University of Bradford, UK. His current research interests focus primarily on adoption and diffusion of emerging ICTs and digital and social media marketing. He has published >300 articles in a range of leading academic journals and conferences. He has co-edited five books on digital and social media marketing, emerging markets and supply and operations management. He has also co-edited special issues, organized tracks, mini-tracks and panels in leading conferences. He is an Associate Editor of International Journal of Information Management.
Shivam Gupta is a Professor at NEOMA Business School, France with a demonstrated history of working in the higher education industry. Skilled in Statistics, Cloud Computing, Big Data Analytics, Artificial Intelligence and Sustainability. Strong education professional with a Doctor of Philosophy (PhD) focused in Cloud Computing and Operations Management from Indian Institute of Technology (IIT) Kanpur. Followed by PhD, postdoctoral research was pursued at Freie Universität Berlin and SUSTech, China. He has completed HDR from University of Montpellier, France. He has published several research papers in reputed journals and has been the recipient of the International Young Scientist Award by the National Natural Science Foundation of China (NSFC) in 2017 and winner of the 2017 Emerald South Asia LIS award.
Amine Belhadi is an Associate Professor at Rabat Business School, Morocco. He is an expert in Industrial Engineering. He has had >8 years of practice experience within OCP group one of the leading chemical companies as an engineer and consultant. In 2022, Professor he has received the Moroccan Scopus award from the ministry of higher education, CNRST and Elseiver as the first research in Morocco in “Decision Sciences”. His expertise area includes Lean Manufacturing, Supply Chain Management, Industry 4.0, and Sustainability. His publications appear in reputed peer-reviewed journals.
Rohit Sharma is a Post-doctoral Researcher at the School of Management, University of Wollongong in Dubai, UAE. He specializes in Operations and Supply Chain Management and obtained his Fellowship from the National Institute of Industrial Engineering, Mumbai, India. He was previously associated with National Commodities and Derivatives (NCDEX) Limited and EMSPL. At NCDEX, he pioneered the project and successfully executed the one of its kind, RFID tagging of agricultural commodities. His research papers are published in reputed journals like the International Journal of Information Management, Computers and Operations Research, and Technological Forecasting and Social Change.
Praveen Kulkarni is a Professor at the Department of MBA, Gogte Institute of Technology, Belgaum, India. He has a teaching experience of 20 years and works in small and medium-scale enterprise management. His current research interests are focused on human resource management and its impact on improving people management in small and medium scale industries. He addresses the key aspects of technology, psychology, and people management.
© 2023 The Authors. Published by Elsevier Inc.