Beyond the purely commercial business model: Organizational value logics and the heterogeneity of sustainability business models

Oliver Laasch

Research output: Journal PublicationArticlepeer-review

79 Citations (Scopus)

Abstract

The business model has been conceived as a commercial logic of value proposition, creation, exchange and capture. However, its underlying conceptual structure of an organizational value logic holds promise also for application beyond a purely commercial context, for partially commercial and even noncommercial organizations. This paper unlocks this potential by conceptualizing homogeneous and heterogeneous organizational value logics shaped by a variety of institutional logics. Homogeneous value logics are dominantly shaped by individual institutional logics, such as the value logic of businesses shaped by an institutional logic of the commercial market, or that of a churches shaped by an institutional logic of religion. Heterogeneous value logics, however, are co-shaped by two or more institutional logics. The application of these concepts is exemplified in the context of sustainability business models, which are built on a heterogeneous value logic that combines elements from commercial, sustainability, welfare and government logics. The paper contributes to the business model discussion by extending it to partially commercial and noncommercial organizations; by creating a conceptual space between value logics and institutional logics; and by proposing the meta-logic of value proposition, creation, exchange and capture, a novel analytical tool for the study of organizations shaped by plural institutional logics.

Original languageEnglish
Pages (from-to)158-183
Number of pages26
JournalLong Range Planning
Volume51
Issue number1
DOIs
Publication statusPublished - Feb 2018
Externally publishedYes

Keywords

  • Business models
  • Heterogeneous logics
  • Institutional logics
  • Organizational value logics
  • Sustainability business models

ASJC Scopus subject areas

  • Geography, Planning and Development
  • Finance
  • Strategy and Management

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