Research On Business Model Change Mechanism Of New Ventures Based On Cognitive Perspective

In recent years,with the development of internet economy,large number of new ventures based on internet keep up with the pace of "mass entrepreneurship and innovation" Era.Research shows that new ventures often need to adjust their business models to meet new requirements with the change of environment and the continuous development of enterprises,which has made inquirying the process mechanism become an urgent research topic.Previous literature on the change of business model is mainly carried out from two levels,including enterprise and individual.Enterprise-level research focuses on environmental determinations and trial-and-error,ignoring the subjective initiative of entrepreneurs.Individual-level research focuses on cognitive theory and regards business model as the subjective schema in the minds of entrepreneurs,emphasizing that entrepreneurs adjust business model by changing existing cognition.This perspective makes up for the deficiency of enterprise-level research,but the related research is limited.Especially,the process mechanism of business model change has not been discussed.On the background,this study,based on existing literature,explores the process mechanism of business model change in new ventures from a cognitive perspective,combining business model theory,business model cognition theory,entrepreneurial reasoning theory and entrepreneurial learning theory.By using case study method,this paper collects and analyses field data from three typical Internet new ventures,and constructs a process model of new ventures' business model change through continuous dialogue with current literature.The results of this study show that the business model change of new ventures presents the process of entrepreneurial reasoning,which includes three important mechanisms:induction,possibility expansion and rationalization.Inducement is the primary mechanism.Negative feedback to current business models and entrepreneurship of entrepreneurs or entrepreneurial teams are important factors to induce business model change.After that,entrepreneurs and entrepreneur team members use imagination and learning action toexpand possibilities.The result is to generate new business model schemas.The new business model schema needs to go through the rationalization process including market test and identification to certify its feasibility.The whole process shows a cyclic process of continuous iteration.These findings make important contributions to the theories of business model change,entrepreneurial learning and entrepreneurial reasoning,and also provide reference and inspiration for entrepreneurial practice.