Industrial Technological Progress

Evolution Mechanism of Industrial Internet Platform: The Integration Perspectives of Dynamic Capability and Business Model Innovation

  • Jiang Shimei ,
  • Shi Jiayu ,
  • Cao Hui
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  • (School of Economics and Management, Hebei University of Technology, Tianjin 300130,China)

Received date: 2023-09-28

  Revised date: 2024-01-22

  Online published: 2025-03-10

Abstract

There are two varieties of the platform: consumer Internet platform and industrial Internet platform. The two platforms are different in terms of structure and functionality. Consumer Internet platforms, often known as B2C or C2C commerce platforms, are primarily used to facilitate trade services and connection information between bilateral suppliers and consumers. The industrial Internet platform involves many links in the industrial chain, such as production, supply, and sales. It provides basic support services through technical empowerment, realizes the synergy of the whole industrial chain through online and offline integration, and plays a huge role in industry resource integration cost reduction and efficiency improvement. Scholars have made rich achievements in studying the evolution of consumer internet platforms, but the theory and practice of industrial Internet platforms are still lagging behind.
Prior research has demonstrated that two critical viewpoints for examining the evolution of platforms are dynamic capability and business model innovation, both of which are mutually reinforcing and collaborative. However, they are rarely combined by researchers to examine their synergistic effect in the evolution of industrial Internet platforms. The organic combination of dynamic capability and business model innovation can make enterprises form an isolation mechanism that hinders competitors from imitating, which is very important for platform evolution. Therefore, from the perspective of integration of dynamic capability and business model innovation, this paper studies how to realize the evolution of industrial Internet platform through the mutual drive and co-operation of dynamic capability and business model innovation in the logic of "factor-process-result", so as to provide reference for other enterprises to build and develop industrial Internet platforms.
This study uses the exploratory single case study approach and chooses Zhijing Technology as the case based on the theoretical sampling. The "triangle verification" approach is used in this paper's data collection, which gathers information from multiple sources. The data of this study are mainly second-hand materials collected through open channels, and the sources mainly include the official information released by Zhijing Technology, high-quality academic papers and teaching cases with Zhijing Technology as the research object, and authoritative news media reports. In addition, it also includes the researchers' direct observation experience of various APP business modules of Zhijing Technology.
Firstly, the important influencing factors of the evolution of industrial Internet platforms include the internal and external environment of enterprises, and the internal environment mainly includes managers' knowledge and experience, managers' cognition, corporate resources and ability, etc. The external environment is mainly composed of market demand, location advantage, market competition, technological change and policy support. The evolution process of industrial Internet platforms must fully consider the influence of the internal and external environment. Secondly, in the evolution of industrial Internet platforms, dynamic capability, and business model innovation are mutually driven and co-performed. Dynamic capability drives value proposition and value creation innovation respectively by enhancing the keenness of internal and external opportunities and the overall planning of internal and external resources, thus driving business model innovation; the experience and resources accumulated by enterprises in the process of business model innovation also drive the upgrading of dynamic capabilities. In this process, the dynamic capability has experienced the upgrading of the cognitive dimension "opportunity perception capability, opportunity exploration capability and opportunity development capability" and the behavioral dimension "resource patchwork capability, resource integration capability and resource reconstruction capability", and the attributes of business model innovation have experienced the process of "efficient business model innovation, novel business model innovation, and locked business model innovation". Finally, the evolution of industrial Internet platforms presents a path of "platform construction, vertical extension, and vertical and horizontal expansion". Enterprises first build a B2B trading platform connecting bilateral users, then use digital technology to empower some industrial chain enterprises, and finally integrate industrial chain resources through horizontal and vertical business expansion to realize data interconnection between upstream and downstream of the industrial chain, and help the whole industry to reduce costs and increase efficiency, and achieve transformation and upgrading.
The study reveals the evolution mechanism of industrial Internet platforms, and enriches the research on the evolution of industrial Internet platforms and the relationship between dynamic capabilities and business model innovation.

Cite this article

Jiang Shimei , Shi Jiayu , Cao Hui . Evolution Mechanism of Industrial Internet Platform: The Integration Perspectives of Dynamic Capability and Business Model Innovation[J]. Science & Technology Progress and Policy, 2025 , 42(5) : 106 -117 . DOI: 10.6049/kjjbydc.2023090857

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