L05: A: Huang: Extending Digital Ventures through Templating.

Question 1

Digital venture have digital artifacts at the core of their market offering and they are versatile and have low adjustment costs, explain which two factors lead to this.

Answer 1

(1) programmability and design flexibility

(2) Digital contents are reproducible at nearly zero marginal costs, this allows for a big scope when scaling digital products

Question 2

Digital core:

Answer 2

set of digital resources that are imperative to the venture’s offering to its market(s) e.g. platform, set of machine learning algorithms, game engine etc.
Digital venture extension is facilitated by templating.

Question 3

Templating definition:

Answer 3

A digitally enabled process of generating and using generic solutions across business areas.

Question 4

templating consists of:

Answer 4

Concepting + Porting + Generalizing

Question 5

Concepting:

Answer 5

The use of digital core in designing and experimenting business concepts for new ventures

Question 6

Porting:

Answer 6

the specialization of a venture’s digital templates to actualize productive opportunities with minimal adjustment costs

Question 7

Generalizing:

Answer 7

the creation of general solutions for specific sub-problems that can be reused and adapted in the development of derivative digital products

Question 8

Derivative digital product

Answer 8

products created from a previous product.

Question 9

Opportunity actualization:

Answer 9

realization of productive opportunities through managerial action.

Question 10

Productive opportunity creation:

Answer 10

Development of business opportunities in unserved market segments through entrepreneurial imagination.

Question 11

Where does digital venture extension start?

Answer 11

(1) Contextual conditions: reflection of demands and market conditions, which agile entrepreneurs can convert into productive opportunities those with the most versatile digital core can take most advantage by templating existing solutions.

(2) Concept experimentation firms typically run large volumes of experimentation, semi-ready product concepts allow to reactivate experimented projects without going through the process of concepting again.

(3) Digital templates results of updating and renewal can be applied to refine existing digital products or create new product variants.