• ISSN: 2155-7950
  • Journal of Business and Economics

Thriving in African Cities: The Imperative of Business Model Innovation

Yetunde Anibaba1, Theresa Akomode2  
(1. Lagos Business School, Pan-Atlantic University, Nigeria; 2. University of New Brunswick, Canada)

Abstract: The literature often explains the ability of firms to thrive in different geographical environments in terms the competitiveness of such environments. Whereas there is considerable evidence to support this view, there is also evidence to suggest that more and more firms are venturing into such environments and doing relatively well in the face of typical emerging market conditions. Using Uber in Lagos, Nigeria as an illustrative case study, we explore the role of business model innovation in facilitating firm success in emerging economies. Building on a formidable value proposition, firms will thrive when they look beyond standardized global competitiveness indices as we know them, and embrace the imperative of experimentation through business model innovation. We also find that business model innovation should be conceived of, not just as a tool of competitive strategy, but a tool to defend the firm’s value proposition in different markets.

Key words: business model innovation; competitiveness; emerging economies; Uber

JEL codes: M160

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