Managerial capabilities to address digital business models: The case of digital health

Abstract : The full digitization of products and services coupled with advanced analytics impacts the dynamics of BMs and requires entrepreneurs to adapt their managerial capabilities to meet new challenges regarding customer needs, regulations, and privacy. Our research shows that the three main kinds of managerial capabilities required of entrepreneurs are: information technology (IT) capabilities for internal issues, strategic capabilities for external issues, and BM‐specific capabilities to manage the in/out interface. This research underlines the challenges of managing network effects, value appropriation, and sensitive information in the digital health industry.