Search

Article Information


Open Business Models and Closed-Loop Value Chains: Redefining the Firm-Consumer Relationship
Kortmann, Sebastian , and Frank Piller
58/3  (Spring 2016): 88-108

Driven by recent socio-economic developments, manufacturing firms increasingly adapt their business models along two dimensions. Apart from vertically integrating the entire product life cycle, traditionally separated tasks are re-allocated into new forms of horizontal stakeholder collaborations. Incorporating these two dimensions, this article develops a framework of nine business model archetypes that holistically capture the increasing openness of business models towards consumers in the emerging closed-loop value chain. Using illustrative examples, it demonstrates their broad applicability in different industries and derives important managerial implications for firm-consumer relationships, the relevance of consumer communities, new product development activities, and the sustainability of business models.

 

California Management Review

Berkeley-Haas's Premier Management Journal

Published at the University of California for more than sixty years, California Management Review seeks to share knowledge that challenges convention and shows a better way of doing business.

Learn more
Follow Us