Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures

Jonathan Zebhauser; Hannes Rothe; Janina Sundermeier; Samuel Koranteng

Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures

Jonathan Zebhauser
, Hannes Rothe
, Janina Sundermeier
, Samuel Koranteng

Free University of Berlin
University of Duisburg-Essen

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

Abstract

The diffusion of AI-technology disrupts labor and industries and gives rise to a diverse range of new ventures and product innovations. Such product innovations involve the negotiation of product boundaries among actors in innovation networks, including ventures, investors, and customers. These negotiations consist of social and cognitive translations. For digital products, actors share a common understanding of resource configuration, mainly based on cognitive resonance. However, AI-driven products introduce the”black-box” problem that hinders cognitive translation-based negotiations within innovation networks, as they are not fully cognitively traceable, but emotionally resonant. Using a qualitative research approach and the notion of entrepreneurial framing, we investigate the impact of AI on the negotiation of product boundaries and digital innovation. We reveal that AI-ventures, to maintain”cognitive” superiority, focus on cutting-edge technology while limiting negotiation to non-technology aspects, such as revenue streams and business models, creating”cognitive moats” for non-expert actors.

Original language	English
Title of host publication	International Conference on Information Systems, ICIS 2023
Subtitle of host publication	"Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"
Publisher	Association for Information Systems
ISBN (Electronic)	9781713893622
Publication status	Published - 2023
Externally published	Yes
Event	44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023 - Hyderibad Duration: 10 Dec 2023 → 13 Dec 2023

Publication series

Name	International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"

Conference

Conference	44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023
Country/Territory	India
City	Hyderibad
Period	10/12/23 → 13/12/23

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 9 Industry, Innovation, and Infrastructure

Keywords

AI Startups
Entrepreneurial Framing
Negotiations of Product Boundaries
Resonance

Cite this

Zebhauser, J., Rothe, H., Sundermeier, J., & Koranteng, S. (2023). Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures. In International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies" (International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"). Association for Information Systems.

Zebhauser, Jonathan ; Rothe, Hannes ; Sundermeier, Janina et al. / Entrepreneurial Framing and Negotiations of Product Boundaries : A Qualitative Study on the Social Construction of Product Innovation in AI Ventures. International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies". Association for Information Systems, 2023. (International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies").

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title = "Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures",

abstract = "The diffusion of AI-technology disrupts labor and industries and gives rise to a diverse range of new ventures and product innovations. Such product innovations involve the negotiation of product boundaries among actors in innovation networks, including ventures, investors, and customers. These negotiations consist of social and cognitive translations. For digital products, actors share a common understanding of resource configuration, mainly based on cognitive resonance. However, AI-driven products introduce the”black-box” problem that hinders cognitive translation-based negotiations within innovation networks, as they are not fully cognitively traceable, but emotionally resonant. Using a qualitative research approach and the notion of entrepreneurial framing, we investigate the impact of AI on the negotiation of product boundaries and digital innovation. We reveal that AI-ventures, to maintain”cognitive” superiority, focus on cutting-edge technology while limiting negotiation to non-technology aspects, such as revenue streams and business models, creating”cognitive moats” for non-expert actors.",

keywords = "AI Startups, Entrepreneurial Framing, Negotiations of Product Boundaries, Resonance",

author = "Jonathan Zebhauser and Hannes Rothe and Janina Sundermeier and Samuel Koranteng",

note = "Publisher Copyright: {\textcopyright} 2023 International Conference on Information Systems, ICIS 2023: {"}Rising like a Phoenix: Emerging from the Pandemic and Reshaping Hu. All Rights Reserved.; 44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023 ; Conference date: 10-12-2023 Through 13-12-2023",

year = "2023",

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Zebhauser, J, Rothe, H, Sundermeier, J & Koranteng, S 2023, Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures. in International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies". International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies", Association for Information Systems, 44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023, Hyderibad, India, 10/12/23.

Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures. / Zebhauser, Jonathan; Rothe, Hannes; Sundermeier, Janina et al.
International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies". Association for Information Systems, 2023. (International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies").

Research output: Chapter in Book/Report/Conference proceeding › Conference contribution › peer-review

TY - GEN

T1 - Entrepreneurial Framing and Negotiations of Product Boundaries

T2 - 44th International Conference on Information Systems: Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies, ICIS 2023

AU - Zebhauser, Jonathan

AU - Rothe, Hannes

AU - Sundermeier, Janina

AU - Koranteng, Samuel

PY - 2023

Y1 - 2023

N2 - The diffusion of AI-technology disrupts labor and industries and gives rise to a diverse range of new ventures and product innovations. Such product innovations involve the negotiation of product boundaries among actors in innovation networks, including ventures, investors, and customers. These negotiations consist of social and cognitive translations. For digital products, actors share a common understanding of resource configuration, mainly based on cognitive resonance. However, AI-driven products introduce the”black-box” problem that hinders cognitive translation-based negotiations within innovation networks, as they are not fully cognitively traceable, but emotionally resonant. Using a qualitative research approach and the notion of entrepreneurial framing, we investigate the impact of AI on the negotiation of product boundaries and digital innovation. We reveal that AI-ventures, to maintain”cognitive” superiority, focus on cutting-edge technology while limiting negotiation to non-technology aspects, such as revenue streams and business models, creating”cognitive moats” for non-expert actors.

AB - The diffusion of AI-technology disrupts labor and industries and gives rise to a diverse range of new ventures and product innovations. Such product innovations involve the negotiation of product boundaries among actors in innovation networks, including ventures, investors, and customers. These negotiations consist of social and cognitive translations. For digital products, actors share a common understanding of resource configuration, mainly based on cognitive resonance. However, AI-driven products introduce the”black-box” problem that hinders cognitive translation-based negotiations within innovation networks, as they are not fully cognitively traceable, but emotionally resonant. Using a qualitative research approach and the notion of entrepreneurial framing, we investigate the impact of AI on the negotiation of product boundaries and digital innovation. We reveal that AI-ventures, to maintain”cognitive” superiority, focus on cutting-edge technology while limiting negotiation to non-technology aspects, such as revenue streams and business models, creating”cognitive moats” for non-expert actors.

KW - AI Startups

KW - Entrepreneurial Framing

KW - Negotiations of Product Boundaries

KW - Resonance

UR - https://www.scopus.com/pages/publications/85192515746

M3 - Conference contribution

AN - SCOPUS:85192515746

T3 - International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies"

BT - International Conference on Information Systems, ICIS 2023

PB - Association for Information Systems

Y2 - 10 December 2023 through 13 December 2023

ER -

Zebhauser J, Rothe H, Sundermeier J, Koranteng S. Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures. In International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies". Association for Information Systems. 2023. (International Conference on Information Systems, ICIS 2023: "Rising like a Phoenix: Emerging from the Pandemic and Reshaping Human Endeavors with Digital Technologies").

Entrepreneurial Framing and Negotiations of Product Boundaries: A Qualitative Study on the Social Construction of Product Innovation in AI Ventures

Abstract

Publication series

Conference

UN SDGs

Keywords

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