AN EXAMINATION OF THE NEED FOR RESOURCES WHEN SHIFTING FROM A PRINT BASED BUSINESS MODEL TO A DIGITAL BUSINESS MODEL IN THE NEWSPAPER INDUSTRY

Abstract: Title: An examination of the need for resources when shifting from a print based business model to a digital business model in the newspaper industry Date of the seminar: May 2, 2012 Course: Master Corporate Entrepreneurship and Innovation Internship and degree project (Master thesis 15 ECTS) Author: Dallyce Sax Advisor: Joakim Winborg Keywords: Need for resources, business model change, organizational change, newspaper industry Thesis purpose: This paper aims to explore how newspaper companies address the need for resources when shifting from a print based business model to a digital business model. In particular the paper examines what resources are considered, what the sources of the resources are, and if the decisions are affected by their potential consequences on organizational change and culture. To illustrate how firms may tackle the issue, a model is proposed for how companies address the need for resources taking into consideration business model change, and organizational change and culture. Methodology: Based on literature, a model is developed outlining how firms could address the need for resources, taking into consideration the business model change and organizational changes happening at the company. A case study of current new project development activities at Helsingborgs Dagblad is then used to examine the model and test it's effectiveness when applied to practical situations. To gather information about the case company, qualitative data was collected in the form of interviews done with key project members about the decisions that have been, and need to be made, throughout the process. This data is then analyzed and compared with the literature, and based on the results improvements are made to the model and a new version is proposed. Theoretical perspectives: The paper is based around three main concepts; organizational change and culture (Judge and Blocker, 2008; St-Amour, 2001; Galpin, 1996), business model development/change (Johnson, Christensen, and Kagerman, 2008; Morris, Shindehutte, and Allen, 2003;Hedman and Kalling, 2003), and resources. Within the topic of resources, theories on the resource based view (Barney, 1991; Andersén, 2010), corporate venture champion (Greene, Brush and Hart, 1999), and Aspara, Tikkanen, Pontiskoski and Jarvensivu's (2011) theory of exploitation and exploration across resource classes are outlined. Conclusions: The paper concludes that the proposed model is an effective way for newspaper companies to address the need for resources, and highlights the importance of considering the context of organizational change and culture. Based on the findings, recommendations for companies are made for how to address the need for resources. Since the paper is so focused however, generalizations beyond the newspaper industry should not be made.