Artificial Intelligence (AI) and the more recent generative technologies are disrupting many activities related to strategy and operations within organizations. Business model design is no exception. We define business model design as an iterative process involving a combination of creativity,...

We develop a typology of incumbent adaptations to emerging disruptive business model innovations, based on two generic strategies: (i) explorative adoption of a disruptive business model, (ii) exploitative strengthening of the existing business model. We derive and test hypotheses concerning the...