Dynamic Capabilities as Enablers of Digital Servitization in Innovation Ecosystems : An Evolutionary Perspective

The literature on servitization-related research lacks theoretical diversity, which calls for frameworks to study digital servitization using different perspectives. As a central contribution, this chapter develops a multilevel framework that explores digitization capabilities by moving the analysis from the firm to the ecosystem level. The framework addresses the relationship between dynamic capabilities at the ecosystem level and the individual firms’ business model innovation when transitioning digital servitization. The discussion includes changes in structures and routines, technological and non-technological innovations, and their impact on business performance. Moreover, the chapter explores how digital capabilities and digitization capabilities can serve as value capture tools to improve business performance. Finally, it elaborates a heuristic proposal that includes tools and practices with managerial implications.