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Embracing Digital Innovation in Incumbent Firms: How Volvo Cars Managed Competing Concerns1

Svahn, Fredrik, Mathiassen, Lars, Lindgren, Rikard·2017·MIS Quarterly

Abstract

Past research provides instructive yet incomplete answers as to how incumbent firms can address competing concerns as they embrace digital innovation. In particular, it offers only partial explanations of why different concerns emerge, how they manifest, and how firms can manage them. In response, we present a longitudinal case study of Volvo Cars’connected car initiative. Combining extant literature with insights from the case, we argue that incumbent firms face four competing concerns—capability (existing versus requisite), focus (product versus process), collaboration (internal versus external), and governance (control versus flexibility)—and that these concerns are systemically interrelated. Firms must therefore manage these concerns cohesively by continuously balancing new opportunities and established practices.

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Metadata

Authors
Svahn, F., Mathiassen, L., & Lindgren, R.
Venue
MIS Quarterly
Publisher
MIS Quarterly
Published
2017-03-01
Volume
41
Issue
1
Pages
239-253
ISSN
  • 0276-7783 (ISSN-L)
  • 2162-9730
OpenAlex
W2601853749
Cited by
889
References
9
FWCI
87.82
Type
journal article
Language
en
Open access
closed

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Svahn, F., Mathiassen, L., & Lindgren, R. (2017). Embracing Digital Innovation in Incumbent Firms: How Volvo Cars Managed Competing Concerns1. MIS Quarterly. https://doi.org/10.25300/misq/2017/41.1.12

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