Welcome to Clubland: A Complexity-Informed Exploration of Who and What Matters in the Evolution of Business Models in New South Wales Registered Clubs
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New South Wales registered clubs are often defined as non-profit organisations, established by a community sharing a common purpose or characteristic (Hing, Breen & Weeks. 2002; IPART 2008). However, there has been a recent public discourse questioning the veracity of characterising clubs as not-for-profit organisations (Productivity Commission 2010b). Arguments here have centred on the expansion of club activities into areas that offer services in the free market (Productivity Commission 2010b). In effect, the diversification of club revenues (identified by IPART 2008) has called into question their position as not-for-profit organisations. With business models evolving through interaction between club and stakeholder, the process of business model evolution presented in this thesis resembles Linbolm’s (1959) ‘strategy as muddling through’. This is fundamentally different to the current literature which takes a much more deterministic stance, describing business model evolution as a process of radical change (Chesbrough & Schwartz 2007; Mitchell & Coles 2003) through open innovation (Chesbrough 2003; Mitchell & Coles 2003; Zott, Amit & Massa 2011). Current literature suggests that managers proactively engage with stakeholders in the determination of a business model. However, in Clubland, it appears that the business model is largely created in reluctant reaction to stakeholder claims. This process of incrementally responding to emergent challenges has fundamentally altered the initial design of business models in Clubland. While clubs were once organisations that provided cheap food and beverages to their members, clubs now sell food and beverages to provide for a wider community. As a result, the determination of ‘value’ to both members and the wider community has re-focused how managers determine stakeholder salience. Management’s determination of the changes to stakeholder salience is achieved through reciprocity, enacted for the purpose of gaining political clout. Reciprocity has driven the evolution of business models in Clubland and is seen as the key to survival.
Thesis (PhD Doctorate)
Doctor of Philosophy (PhD)
Griffith Business School.
Item Access Status
Clubs in New South Wales, Management
Business models in clubland, New South Wales