The role of capabilities in digital service development and delivery: the case of start-up organisations

Zhang, Gongtao; Ravishankar, M. N.

Abstract

Purpose: Digital technologies create myriad innovation opportunities and have inspired the establishment of many new start-ups in recent years. Despite the growing knowledge on digital entrepreneurship, few studies explore how start-ups exploit these opportunities to achieve entrepreneurial success. The purpose of this paper is to explore start-ups’ capabilities for successful delivery of digital artefacts in a cloud computing infrastructure. Design/methodology/approach: Empirical data were collected during a qualitative case study of an established start-up in the Chinese market by interviewing 41 interviewees. Informed by the notion of dynamic capabilities and using the Gioia methodology, the case firm's life cycle was analysed in detail. Findings: The study identifies start-ups’ ordinary and dynamic capabilities for successful development and delivery of digital services. The findings provide insights into a portfolio of start-ups’ capabilities, namely adaptation, networking, reengineering and refinement. Originality/value: The study suggests that start-ups’ capabilities and underlying entrepreneurial actions determine the degree to which adoption of digital technologies create and transfer value to customers. The study offers specific insights into how start-ups successfully develop and deliver digital artefacts in a cloud infrastructure based on entrepreneurs' prior expertise, vision and accumulated experience.

Citation

Zhang, G., & Ravishankar, M. N. (2024). The role of capabilities in digital service development and delivery: the case of start-up organisations. Information Technology and People, 37(3), 1156-1184. https://doi.org/10.1108/ITP-05-2021-0404

• Journal Article Type: Article
• Acceptance Date: Mar 15, 2023
• Online Publication Date: Apr 11, 2023
• Publication Date: Apr 8, 2024
• Deposit Date: Apr 17, 2023
• Publicly Available Date: Apr 20, 2023
• Journal: Information Technology and People
• Print ISSN: 0959-3845
• Publisher: Emerald
• Peer Reviewed: Peer Reviewed
• Volume: 37
• Issue: 3
• Pages: 1156-1184
• DOI: https://doi.org/10.1108/ITP-05-2021-0404
• Keywords: Digital entrepreneurship; Start-ups' capabilities; Entrepreneurial actions; Case study; Software-as-a-service (SaaS) 2
• Public URL: https://nottingham-repository.worktribe.com/output/19676546
• Publisher URL: https://www.emerald.com/insight/content/doi/10.1108/ITP-05-2021-0404/full/html