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Suitable business models for innovation in different levels of the smart grid energy industry
Author(s) -
Chen Silu,
Chen Hsing Hung,
Shen Tao
Publication year - 2019
Publication title -
environmental progress and sustainable energy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.495
H-Index - 66
eISSN - 1944-7450
pISSN - 1944-7442
DOI - 10.1002/ep.13275
Subject(s) - smart grid , business , business model , renewable energy , industrial organization , environmental economics , sustainability , greenhouse gas , grid , marketing , economics , engineering , electrical engineering , geometry , mathematics , ecology , biology
An intelligent grid system makes the combination of various renewable energy technologies and changes in power supply and demand become more possible. Technology and innovation are considered the primary drivers of the next stage of economic growth in China, and smart grid (SG) energy management has developed as an emerging industry with the goal of lowering greenhouse gas emissions and increasing energy efficiency to attain sustainability. In this study, high‐level, middle‐level, and low‐level managers from 102 successful grid companies in China completed questionnaires. The particular characteristics of four business models for innovation (novelty, lock‐in, complementarities, and efficiency) are discussed, three distinct levels of SG (power supply side, grid side, and customer demand side) are considered (addressing process and elements), and effects of each business model for innovation are identified. Our findings yield important considerations for companies in the SG energy industry on how to successfully adapt their business models for innovation.