Translational Mechanisms in Business Model Design: Introducing the Continuous Validation Framework

Abstract

Purpose: This paper aims at proposing knowledge translation as an element of business model design that can support entrepreneurs in achieving alignment and collaboration between entrepreneurial teams and external stakeholders. Design/methodology/approach: The conceptual model presented in the paper is developed from the literature review and draws mainly on two streams of work as follows: first, the contributions related to the lean start-up methodology initially developed by Blank and Ries and second, the work of Osterwalder and Pigneur on business models and its subsequent developments. In addition, we draw on key insights from the entrepreneurship and organizational learning literature, such as discovery-driven planning and disciplined entrepreneurship. Findings: The continuous validation framework (CVF) is introduced, posing the attention on underlining knowledge-translation mechanisms to decode complex concepts related to new venture creation. Originality/value: The authors propose a new framework (the CVF) as an effective translational tool because it is a visual diagram that allows entrepreneurs to translate complex and technical ideas into a format that is more understandable for external audiences. Additionally, for each step of the CVF, specific translational mechanisms are defined and discussed, as each stage of the CVF presents specific translational challenges that result in outcomes that differ from stage to stage. © 2020, Emerald Publishing Limited.