Value creation in the digital platform and the emergence of grassroots entrepreneurs

Fu, Xiaolan; Ghauri, Pervez; Minayora, Amore

Abstract

This paper explores a digital technology-based business model that enables marginalised communities to engage in commercial activities without access to the initial capital. We observe a great need for a perspective on how marginalised communities create and capture value through app-based businesses. To address these needs, we aim at answering two questions: (1) How does relationship and engagement occur in marketplace platform? (2) How do grassroots entrepreneurs create and capture value within a platform? Based on the case of Kuaishou app users in China, we identified four types of relationships that transform the benefits of technology into value creation for grassroots entrepreneurs. The four types of engagement within the app reflect different ways in which app users create both non-monetary (Type 1) and monetary values (Type 2, 3, 4) leading to the development of grassroots entrepreneurs. The findings of the research suggest that innovation embedded in digital technology-based economic activity helps reshape the ways in which value is created beyond profit. More importantly, digital platforms play an important role in attaining inclusive and just growth for vulnerable communities.

• Presentation Conference Type: Conference Paper (unpublished)
• Conference Name: British Academy of Management 2024
• Start Date: Sep 4, 2023
• End Date: Sep 6, 2023
• Deposit Date: Feb 27, 2024
• Publicly Available Date: Feb 27, 2024
• Public URL: https://uwe-repository.worktribe.com/output/11748957
• Additional Information: Department of Strategy and Operations Management