Entrepreneurship as an Innovation Driver in an Industrial Ecosystem

Markus Hofmann*, Ferran Giones

*Kontaktforfatter for dette arbejde

Publikation: Bidrag til bog/antologi/rapport/konference-proceedingBidrag til bog/antologiForskningpeer review

Resumé

New technologies have set a whole new standard of innovation with constant ground-breaking innovation. Recent examples are the development of digital technologies such as drones, AI, IoT, VR, or Blockchain (Cohen et al. 2017). Established industrial ecosystems often observe these emerging digital technologies as a threat but also as an opportunity. Examples of the use of drones to support maintenance operations (PwC 2016), or IoT sensors data to improve supply chain operations (Li 2013) provide support for the latter. The non-digital industrial players often struggle to keep up with the digital innovation pace, see for example the case of Kodak (Lucas & Goh 2009), even losing the attention of institutional actors and investors. This phenomenon can not only occur in traditional industries such as automotive or general manufacturing, but also in recently emerged industrial ecosystems such as the renewable energy industry. Against this backdrop, we would expect that the interaction between new technology entrepreneurs (i.e. digital start-ups) and industrial ecosystems could have a positive effect on the innovation pace of the established ecosystems and in their overall competitiveness (Nambisan & Baron 2013). Still, we know little on whether and how this process of interaction and co-evolution unfolds, leaving open the intriguing question of to what extent do entrepreneurs contribute to introduce new technology innovations in industrial ecosystems? We examined this question focusing on digital innovation to see if the characteristics of digital technologies facilitates the participation of new entrants. In order to describe how this process occurs, we engage in the study of an industrial ecosystem under competitive pressure. We selected the case of the leading players in the wind industry (Vestas and Siemens) as it is an industrial ecosystem (mostly located in Denmark) that is under intense pressure to increase its innovation pace. The recent reference on how the solar energy industry pioneers lost its leading manufacturing position to cost oriented producers (Zhang & White 2016), has triggered an urgent search for innovation opportunities to fend off new competitors. We combine archival data and interviews with experts and actors in the industrial ecosystem to find answers to our research question. We first present an historical account of the innovation dynamics and the evolution of the wind energy innovation ecosystem. Building upon the interviewees insights, we detail the new entrants’ interactions and contributions to the challenges and opportunities in the industry. Our data suggests that the entrepreneurs’ contribution is strongly influenced by the different dynamics in the value chain activities. While the core wind energy technology development has become a rather closed process, the operations and maintenance activities have opened opportunities for new entrants introducing digital technologies. The findings from this study contribute to the emergent literature on the interaction between innovation ecosystems and technology-driven entrepreneurial ecosystems (Thomas et al. 2017). We also generate valuable practical insights to institutional actors interested in protecting the innovation leadership of their regional industrial ecosystems, suggesting the need for a more active role in order to keep the value-added activities in the region. We start with a review of the recent discussion on innovation and entrepreneurial ecosystems. We continue with a presentation of our research design and data sources. Then, we present an historical account of the wind industry ecosystem evolution and our findings from the field-work interviews. Finally, we outline the implications and takeaways for researchers and industry participants.
OriginalsprogEngelsk
TitelDigital Technologies & Entrepreneurship
RedaktørerR. Baierl, J. Behrens, A. Brem
Udgivelses stedCham
ForlagSpringer
Publikationsdato5. aug. 2019
Sider99-121
Kapitel5
ISBN (Trykt)978-3-030-20137-1
ISBN (Elektronisk)978-3-030-20138-8
DOI
StatusUdgivet - 5. aug. 2019
NavnFGF Studies in Small Business and Entrepreneurship

Fingeraftryk

Innovation
Entrepreneurship
Industrial ecosystem
Ecosystem
Industry
Digital technology
Interaction
New entrants
Entrepreneurs
Wind energy
Energy industry
Manufacturing
Participation
Coevolution
Investors
Pioneers
Start-ups
Technology development
Renewable energy
Technology innovation

Citer dette

Hofmann, M., & Giones, F. (2019). Entrepreneurship as an Innovation Driver in an Industrial Ecosystem. I R. Baierl, J. Behrens, & A. Brem (red.), Digital Technologies & Entrepreneurship (s. 99-121). Cham: Springer. FGF Studies in Small Business and Entrepreneurship https://doi.org/10.1007/978-3-030-20138-8_5
Hofmann, Markus ; Giones, Ferran. / Entrepreneurship as an Innovation Driver in an Industrial Ecosystem. Digital Technologies & Entrepreneurship. red. / R. Baierl ; J. Behrens ; A. Brem. Cham : Springer, 2019. s. 99-121 (FGF Studies in Small Business and Entrepreneurship).
@inbook{aa461d3056fb49918485e3c6548b3607,
title = "Entrepreneurship as an Innovation Driver in an Industrial Ecosystem",
abstract = "New technologies have set a whole new standard of innovation with constant ground-breaking innovation. Recent examples are the development of digital technologies such as drones, AI, IoT, VR, or Blockchain (Cohen et al. 2017). Established industrial ecosystems often observe these emerging digital technologies as a threat but also as an opportunity. Examples of the use of drones to support maintenance operations (PwC 2016), or IoT sensors data to improve supply chain operations (Li 2013) provide support for the latter. The non-digital industrial players often struggle to keep up with the digital innovation pace, see for example the case of Kodak (Lucas & Goh 2009), even losing the attention of institutional actors and investors. This phenomenon can not only occur in traditional industries such as automotive or general manufacturing, but also in recently emerged industrial ecosystems such as the renewable energy industry. Against this backdrop, we would expect that the interaction between new technology entrepreneurs (i.e. digital start-ups) and industrial ecosystems could have a positive effect on the innovation pace of the established ecosystems and in their overall competitiveness (Nambisan & Baron 2013). Still, we know little on whether and how this process of interaction and co-evolution unfolds, leaving open the intriguing question of to what extent do entrepreneurs contribute to introduce new technology innovations in industrial ecosystems? We examined this question focusing on digital innovation to see if the characteristics of digital technologies facilitates the participation of new entrants. In order to describe how this process occurs, we engage in the study of an industrial ecosystem under competitive pressure. We selected the case of the leading players in the wind industry (Vestas and Siemens) as it is an industrial ecosystem (mostly located in Denmark) that is under intense pressure to increase its innovation pace. The recent reference on how the solar energy industry pioneers lost its leading manufacturing position to cost oriented producers (Zhang & White 2016), has triggered an urgent search for innovation opportunities to fend off new competitors. We combine archival data and interviews with experts and actors in the industrial ecosystem to find answers to our research question. We first present an historical account of the innovation dynamics and the evolution of the wind energy innovation ecosystem. Building upon the interviewees insights, we detail the new entrants’ interactions and contributions to the challenges and opportunities in the industry. Our data suggests that the entrepreneurs’ contribution is strongly influenced by the different dynamics in the value chain activities. While the core wind energy technology development has become a rather closed process, the operations and maintenance activities have opened opportunities for new entrants introducing digital technologies. The findings from this study contribute to the emergent literature on the interaction between innovation ecosystems and technology-driven entrepreneurial ecosystems (Thomas et al. 2017). We also generate valuable practical insights to institutional actors interested in protecting the innovation leadership of their regional industrial ecosystems, suggesting the need for a more active role in order to keep the value-added activities in the region. We start with a review of the recent discussion on innovation and entrepreneurial ecosystems. We continue with a presentation of our research design and data sources. Then, we present an historical account of the wind industry ecosystem evolution and our findings from the field-work interviews. Finally, we outline the implications and takeaways for researchers and industry participants.",
keywords = "innovation, wind industry, denmark, start-ups, Technology entrepreneurship",
author = "Markus Hofmann and Ferran Giones",
year = "2019",
month = "8",
day = "5",
doi = "10.1007/978-3-030-20138-8_5",
language = "English",
isbn = "978-3-030-20137-1",
pages = "99--121",
editor = "R. Baierl and J. Behrens and A. Brem",
booktitle = "Digital Technologies & Entrepreneurship",
publisher = "Springer",
address = "Germany",

}

Hofmann, M & Giones, F 2019, Entrepreneurship as an Innovation Driver in an Industrial Ecosystem. i R Baierl, J Behrens & A Brem (red), Digital Technologies & Entrepreneurship. Springer, Cham, FGF Studies in Small Business and Entrepreneurship, s. 99-121. https://doi.org/10.1007/978-3-030-20138-8_5

Entrepreneurship as an Innovation Driver in an Industrial Ecosystem. / Hofmann, Markus; Giones, Ferran.

Digital Technologies & Entrepreneurship. red. / R. Baierl; J. Behrens; A. Brem. Cham : Springer, 2019. s. 99-121 (FGF Studies in Small Business and Entrepreneurship).

Publikation: Bidrag til bog/antologi/rapport/konference-proceedingBidrag til bog/antologiForskningpeer review

TY - CHAP

T1 - Entrepreneurship as an Innovation Driver in an Industrial Ecosystem

AU - Hofmann, Markus

AU - Giones, Ferran

PY - 2019/8/5

Y1 - 2019/8/5

N2 - New technologies have set a whole new standard of innovation with constant ground-breaking innovation. Recent examples are the development of digital technologies such as drones, AI, IoT, VR, or Blockchain (Cohen et al. 2017). Established industrial ecosystems often observe these emerging digital technologies as a threat but also as an opportunity. Examples of the use of drones to support maintenance operations (PwC 2016), or IoT sensors data to improve supply chain operations (Li 2013) provide support for the latter. The non-digital industrial players often struggle to keep up with the digital innovation pace, see for example the case of Kodak (Lucas & Goh 2009), even losing the attention of institutional actors and investors. This phenomenon can not only occur in traditional industries such as automotive or general manufacturing, but also in recently emerged industrial ecosystems such as the renewable energy industry. Against this backdrop, we would expect that the interaction between new technology entrepreneurs (i.e. digital start-ups) and industrial ecosystems could have a positive effect on the innovation pace of the established ecosystems and in their overall competitiveness (Nambisan & Baron 2013). Still, we know little on whether and how this process of interaction and co-evolution unfolds, leaving open the intriguing question of to what extent do entrepreneurs contribute to introduce new technology innovations in industrial ecosystems? We examined this question focusing on digital innovation to see if the characteristics of digital technologies facilitates the participation of new entrants. In order to describe how this process occurs, we engage in the study of an industrial ecosystem under competitive pressure. We selected the case of the leading players in the wind industry (Vestas and Siemens) as it is an industrial ecosystem (mostly located in Denmark) that is under intense pressure to increase its innovation pace. The recent reference on how the solar energy industry pioneers lost its leading manufacturing position to cost oriented producers (Zhang & White 2016), has triggered an urgent search for innovation opportunities to fend off new competitors. We combine archival data and interviews with experts and actors in the industrial ecosystem to find answers to our research question. We first present an historical account of the innovation dynamics and the evolution of the wind energy innovation ecosystem. Building upon the interviewees insights, we detail the new entrants’ interactions and contributions to the challenges and opportunities in the industry. Our data suggests that the entrepreneurs’ contribution is strongly influenced by the different dynamics in the value chain activities. While the core wind energy technology development has become a rather closed process, the operations and maintenance activities have opened opportunities for new entrants introducing digital technologies. The findings from this study contribute to the emergent literature on the interaction between innovation ecosystems and technology-driven entrepreneurial ecosystems (Thomas et al. 2017). We also generate valuable practical insights to institutional actors interested in protecting the innovation leadership of their regional industrial ecosystems, suggesting the need for a more active role in order to keep the value-added activities in the region. We start with a review of the recent discussion on innovation and entrepreneurial ecosystems. We continue with a presentation of our research design and data sources. Then, we present an historical account of the wind industry ecosystem evolution and our findings from the field-work interviews. Finally, we outline the implications and takeaways for researchers and industry participants.

AB - New technologies have set a whole new standard of innovation with constant ground-breaking innovation. Recent examples are the development of digital technologies such as drones, AI, IoT, VR, or Blockchain (Cohen et al. 2017). Established industrial ecosystems often observe these emerging digital technologies as a threat but also as an opportunity. Examples of the use of drones to support maintenance operations (PwC 2016), or IoT sensors data to improve supply chain operations (Li 2013) provide support for the latter. The non-digital industrial players often struggle to keep up with the digital innovation pace, see for example the case of Kodak (Lucas & Goh 2009), even losing the attention of institutional actors and investors. This phenomenon can not only occur in traditional industries such as automotive or general manufacturing, but also in recently emerged industrial ecosystems such as the renewable energy industry. Against this backdrop, we would expect that the interaction between new technology entrepreneurs (i.e. digital start-ups) and industrial ecosystems could have a positive effect on the innovation pace of the established ecosystems and in their overall competitiveness (Nambisan & Baron 2013). Still, we know little on whether and how this process of interaction and co-evolution unfolds, leaving open the intriguing question of to what extent do entrepreneurs contribute to introduce new technology innovations in industrial ecosystems? We examined this question focusing on digital innovation to see if the characteristics of digital technologies facilitates the participation of new entrants. In order to describe how this process occurs, we engage in the study of an industrial ecosystem under competitive pressure. We selected the case of the leading players in the wind industry (Vestas and Siemens) as it is an industrial ecosystem (mostly located in Denmark) that is under intense pressure to increase its innovation pace. The recent reference on how the solar energy industry pioneers lost its leading manufacturing position to cost oriented producers (Zhang & White 2016), has triggered an urgent search for innovation opportunities to fend off new competitors. We combine archival data and interviews with experts and actors in the industrial ecosystem to find answers to our research question. We first present an historical account of the innovation dynamics and the evolution of the wind energy innovation ecosystem. Building upon the interviewees insights, we detail the new entrants’ interactions and contributions to the challenges and opportunities in the industry. Our data suggests that the entrepreneurs’ contribution is strongly influenced by the different dynamics in the value chain activities. While the core wind energy technology development has become a rather closed process, the operations and maintenance activities have opened opportunities for new entrants introducing digital technologies. The findings from this study contribute to the emergent literature on the interaction between innovation ecosystems and technology-driven entrepreneurial ecosystems (Thomas et al. 2017). We also generate valuable practical insights to institutional actors interested in protecting the innovation leadership of their regional industrial ecosystems, suggesting the need for a more active role in order to keep the value-added activities in the region. We start with a review of the recent discussion on innovation and entrepreneurial ecosystems. We continue with a presentation of our research design and data sources. Then, we present an historical account of the wind industry ecosystem evolution and our findings from the field-work interviews. Finally, we outline the implications and takeaways for researchers and industry participants.

KW - innovation

KW - wind industry

KW - denmark

KW - start-ups

KW - Technology entrepreneurship

U2 - 10.1007/978-3-030-20138-8_5

DO - 10.1007/978-3-030-20138-8_5

M3 - Book chapter

SN - 978-3-030-20137-1

SP - 99

EP - 121

BT - Digital Technologies & Entrepreneurship

A2 - Baierl, R.

A2 - Behrens, J.

A2 - Brem, A.

PB - Springer

CY - Cham

ER -

Hofmann M, Giones F. Entrepreneurship as an Innovation Driver in an Industrial Ecosystem. I Baierl R, Behrens J, Brem A, red., Digital Technologies & Entrepreneurship. Cham: Springer. 2019. s. 99-121. (FGF Studies in Small Business and Entrepreneurship). https://doi.org/10.1007/978-3-030-20138-8_5