The impact of digitalization on business models using social media and big data

Abstract

Business model innovation is the development of unique new concepts that support an organization's financial ability, including its mission, and the processes for realizing those concepts. The main goal of business model innovation is to realize new sources of revenue by improving product value and how products are delivered to customers. Therefore, the purpose of this study was the effects of digitalization on business models of small and medium enterprises in the information and telecommunication technology industries with a focus on metadata and social networks. To conduct this research, 350 questionnaires were distributed among small and medium enterprises of information and telecommunication industry industries and 338 questionnaires were collected. The research method is applied in terms of purpose and descriptive in terms of nature and method. Hypotheses were tested in PLS software. The results indicate a positive effect between innovation activity on testing the business model; Business model testing strategy; Intensity of competition on business model testing; Technology turmoil on business model testing; Business model testing on business model practices; Business model practices on innovation; Business model practices have a direct impact on a company's financial performance and innovation. And all research hypotheses were confirmed. And the findings of this study can be useful for top managers to better understand how to test the innovation of corporate business models. Knowing what affects the components of the business model and understanding how it is implemented may affect the innovation performance of the business model.