Managerial tensions moderating the effect of Business Model Innovation on performance: an energy sector case study

This study investigates how managerial tensions affect Business Model Innovation (BMI) in the context of newcomers navigating industries in the early stages of their lifecycle propelled by the energy transition. Our findings reveal that tensions within markets and business models often create paradoxical conditions that impact BMI success and simultaneously guide it. Effectively managing relationships between assets is crucial for overcoming these challenges and achieving market success and competitive advantage. Through a detailed case study of a new entrant in the energy sector, we illustrate how managerial tensions can be the train tracks for BMI, particularly amid pressures of innovation across industries and energy transitions. Furthermore, we examine how managers address these challenges during the BMI process, balancing conflicting demands at different levels.