Knowledge Tree
lock-in
Facts (31)
Sources
Business ecosystems as a way to activate lock-in in business models link.springer.com Mar 28, 2025 31 facts
claimThe article 'Business ecosystems as a way to activate lock-in in business models: a theoretical integration' by D.M. Haftor, R.C. Climent, and A. Kallmuenzer is licensed under a Creative Commons Attribution 4.0 International License.
claimCurrent business model theory identifies mechanisms for managers to leverage lock-in, including sunk costs, direct and indirect network effects, and data network effects.
claimComplementarity is typically achieved more quickly than lock-in, providing a margin for the activation of lock-in mechanisms.
claimIntegrating business model theory with business ecosystem theory is designed to help managers establish successful lock-in, prevent imitation, and reduce competitive threats.
referenceBusiness model theory, as conceptualized by Amit and Zott (2001) and documented by Climent et al. (2024), identifies brand loyalty, sunk costs, direct network effects, indirect network effects, and data network effects as mechanisms for achieving lock-in.
claimThe lock-in theme in business model architecture typically takes longer to activate than other business model themes.
claimActivating the lock-in theme in a business model makes it more difficult for imitators to copy the pioneering firm and for new entrants to enter the marketplace.
claimNespresso's business ecosystem creates lock-in for participating firms and consumers through dedicated investments, sunk costs, and the exclusion of other coffee producers and machine makers from the ecosystem.
claimA firm is likely to perform highly if it combines business model novelty with any of the other three business model themes: efficiency, complementarity, or lock-in (Kulins et al., 2016; Leppänen et al., 2023).
referenceCurrent business model theory identifies five primary methods to establish lock-in: loyalty, sunk costs, direct network effects, indirect network effects, and data network effects.
claimAmazon's second business model (the digital marketplace) activated novelty, efficiency, and complementarity themes, eventually creating indirect network effects that locked in both third-party sellers and customers.
claimBusiness model theory identifies four primary themes of value creation and appropriation: novelty, efficiency, complementarity, and lock-in.
claimA pioneer firm can defend against imitators by activating lock-in mechanisms within its business model architecture, specifically through sunk costs, direct network effects, indirect network effects, or data network effects.
referenceJacobides et al. (2018) advanced the theory of the business ecosystem, which identifies a novel method for locking in actors that differs from the bilateral firm-customer dynamics typically focused on in business model theory.
referenceThe theory of the business ecosystem, as described by Jacobides et al. (2018), identifies an additional lock-in mechanism where multiple firms invest in jointly specialized assets that create unique complementarities.
claimManagers of pioneer firms must plan for the long-term deployment of their business models, which evolves from novelty and efficiency to the simultaneous activation of lock-in and complementarity.
claimBusiness model theory, which began with Amit and Zott in 2001, has historically focused on dyadic or bilateral lock-in effects, such as customer loyalty and direct network effects.
claimNespresso maintains a competitive advantage in the coffee business ecosystem by utilizing a model based on novelty and efficiency, which creates a lock-in effect for consumers through brand trust, awareness, and sunk costs.
claimThe article 'Business ecosystems as a way to activate lock-in in business models' introduces a conceptualization of a business model that activates the lock-in theme by establishing a business ecosystem.
claimThe framework proposed in 'Business ecosystems as a way to activate lock-in in business models' integrates business model theory with ecosystem theory to explain how multilateral relationships among actors, including suppliers, partners, and complementors, reinforce lock-in mechanisms.
claimHigh firm performance is achieved through the combination of novelty with lock-in, or efficiency with complementarity and lock-in (Kulins et al., 2016).
claimCao (2023) observes that ecosystem structures enable firms to co-create value through modularity and interdependence, which fosters forms of lock-in extending beyond traditional mechanisms.
claimThe role of AI and data-driven personalization in reinforcing lock-in is identified as a promising avenue for future research.
claimAmazon, its suppliers, and its customers create a lock-in effect through mutual investments that lead to sunk costs and indirect network effects, making it costly and risky for competitors like Walmart Plus to entice these actors to migrate.
claimPioneering firms can defend their market position by transforming their business model architecture to introduce complementarity and initiate lock-in.
claimThere are four distinct business model themes: novelty, efficiency, complementarity, and lock-in.
claimFirms can optimize lock-in by deliberately designing ecosystems through the alignment of modular components and the orchestration of complementarities.
claimLock-in in a business ecosystem is activated by multiple firms (at least two) whose complementary business model architectures enhance each other, rather than being activated solely by the business model architecture of a single firm.
claimBusiness model theory identifies six mechanisms for activating lock-in: brand loyalty, sunk costs, direct network effects, indirect network effects, data network effects, and the business ecosystem.
claimA firm's business model architecture can be configured to provide offerings that complement the business models of other firms, creating a unique form of complementarity that forms a business ecosystem, which activates lock-in for participants and raises entry barriers for imitators.
claimTo drive firm performance, a business model architecture must be configured to activate one or more of the following themes: novelty, efficiency, complementarity, and lock-in.