The modification of the cognitive dimensions of dominant logic in the context of parallel, evolving business models

Abstract

For practice: How do organisations transition from pipeline to platform business models? What role does the quality of managerial cognition play in the trajectory of such transitions? Dominant logic has been explored extensively as a constraint on the recognition of strategic alternatives. Mental models and cognitive frames, which are the mechanisms of dominant logic, have been studied as moderators to the design of new business models. How exactly mental models and cognitive frames modify during the scaling of emerging platform business models presented an opportunity for theoretical refinement and extension. This research project delivers findings in two areas of strategy execution that could assist organisations in more effective management of business model evolution. The first relates to intentionally developing a narrative for organisational change to be embedded in the dominant logic along with organisational identity and purpose. The second relates to a possible approach to manage the incremental adoption of greater frame flexibility. For research: Although the dynamic and emergent properties of dominant logic have been well researched and documented, the mechanisms and processes that lead to the modification of its cognitive dimensions have mostly be considered in isolation. This research project brings together the relevant constructs and theory, to create a continuum for explaining and tracking the ongoing adaptation of the cognitive dimensions of the dominant logic of an organisation. The findings are presented from the organisational perspective and at the levels of parallel business models.