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Cited by 478Digital Platforms and EconomicsBusiness Strategies and InnovationDigital Innovation in Industries

Growing on Steroids: Rapidly Scaling the User Base of Digital Ventures Through Digital Innovaton1

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Huang, Jimmy, Henfridsson, Ola, Liu, Martin J., Newell, Sue·2017·MIS Quarterly
DOI 10.25300/misq/2017/41.1.16
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Abstract

Digital ventures, start-ups growing by drawing on and adding to digital infrastructures, can scale their business at an unprecedented pace. We view such rapid scaling as a generative process by which a venture’s user base increases significantly between two points in time through digital innovation. We studied WeCash, a Chinese digital venture, nearly doubling its user base monthly, to learn more about this generative process. We trace three contingent mechanisms underpinning rapid scaling: data-driven operation, instant release, and swift transformation. We explain these mechanisms and how they interact in the rapid scaling of digital ventures. The research offers an agency perspective on scaling of digital ventures that speaks to the digital innovation literature.

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  • For many start-ups, value intensity as a scaling measure is important for company valuation because it signals potential for value capture.

    “In many start-ups, this measure of scaling is important for putting a value on the company (Huang et al. 2017), since it indicates a value capture potential.”

    From Recombination in the open-ended value landscape of digital innovation (2018) · cites this paper as Huang et al. 2017

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Research works printed but not linked: 3

  1. Henfridsson, O., and Bygstad, B. 2013. "The Generative Mech- anisms of Digital Infrastructure Evolution," MIS Quarterly (37:3), pp. 907-931.
  2. Kallinikos, J., Aaltonen, A., and Marton, A. 2013. "The Ambiva- lent Ontology of Digital Artifacts," MIS Quarterly (37:2), pp. 357-370.
  3. Tilson, D., Lyytinen, K., and Sorensen, C. 2010. "Digital Infrastructures: The Missing IS Research Agenda," Informa- tion Systems Research (21:4), pp. 748-759.

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Authors
Huang, J., Henfridsson, O., Liu, M. J., & Newell, S.
Affiliations
  • University of Warwick (GB)
  • University of Nottingham Ningbo China (CN)
  • University of Sussex (GB)
ORCID
Venue
MIS Quarterly
Publisher
MIS Quarterly
Published
2017-03-01
Volume
41
Issue
1
Pages
301-314
ISSN
  • 0276-7783 (ISSN-L)
  • 2162-9730
DOI
10.25300/misq/2017/41.1.16
OpenAlex
W2338540161
Cited by
478
References
60
Citations by year
2026: 37 · 2025: 64 · 2024: 75 · 2023: 96 · 2022: 56 · 2021: 59 · 2020: 41 · 2019: 23 · 2018: 23 · 2017: 4
FWCI
49.47
Type
journal article
Language
en
Open access
Locations
  • MIS Quarterly (publishedVersion)
  • Sussex Research Online (University of Sussex) (submittedVersion)
  • Warwick Research Archive Portal (University of Warwick) (submittedVersion)
  • Nottingham ePrints (University of Nottingham) (submittedVersion)
  • Figshare (submittedVersion)
  • Repository@Nottingham (University of Nottingham) (submittedVersion, cc-by)
Topics
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Digital Platforms and Economics
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Business Strategies and Innovation
  • Social Sciences › Business, Management and Accounting › Management of Technology and Innovation › Digital Innovation in Industries
Keywords
digital ventures, user base growth, digital innovation, data-driven operations, business transformation, agency perspective, startups, digital infrastructure

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