Characterization of Business Models by the Logic of Transaction Cost Economics

Hugo Moreira de Oliveira, Ricardo Messias Rossi, Mauro Caetano de Souza


Objective of the study: The main objective of this study is to characterize business models under the logic of governance structures discussed as viewed in Transaction Cost Economics (TCE).


Method: We identified the main elements that make up a business model on the literature. The models were combined in a graphic model with the main characteristics of the Transaction Cost Economics (TCE).


Originality / Relevance:  We have identified how the elements of a business model interact with each other from the perspective of TCE.


Main results: The results present the relationships among the components of a business model and the main conceptual characteristics of TCE. A business model is supported by elements such as asset specificities, frequencies and uncertainties, differentiation strategies, and others, all defined from customer segmentation.


Theoretical / methodological contributions: The main contributions are related to the advancement of literature on models and business, regarding its different elements, in the light of TCE. Thus, we hope to contribute with the characterization of competitiveness in different organizations which use different strategies.


Social / management contributions: Different kinds of organizations that already focus on the reduction of transactional costs can use the elements that characterize a business model in order to become more competitive.


Organizational Competitiveness; Strategy; Governance Structure


Abell, D. (1991). Definição do negócio: ponto de partida do planejamento estratégico. São Paulo: Atlas.

Achtenhagen, L., Melin, L., & Naldi, L. (2013). Dynamics of Business Models – Strategizing, Critical Capabilities and Activities for Sustained Value Creation. Long Range Planning, 46 (6), 427-442.

Amit, R., & Zott, C. (2008). The fit between product market strategy and business model: implications for firm performance. Strategic Management Journal, 29(1), 1-26.

Amit, R., & Zott, C. (2010). Business model design: an activity system perspective. Long Range Planning, 43(2-3), 216-226.

Amit, R., & Zott, C. (2001). Value creation in E-business. Strategic Management Journal, 22(6-7), 493–520.

Baden-Fuller, C., & Mangematin, V. (2013). Business Models: a Challenging Agenda. Cass Business School. Strategic Organization, 11(4), 418-427.

Brettel, M., Strese, S., & Flatten, T. C. (2012). Improving the performance of business models with relationship marketing efforts – An entrepreneurial perspective. European Management Journal, 30(2), 85-98.

Cabral, S. (2004). Analisando a reconfiguração da cadeia de produção de pneus no Brasil pela economia dos custos de transação. Gestão & Produção, 11(3), 373-384.

Carvalho, J. M. (2005). Graphical representation of transaction arrangements. Organizações Rurais & Agroindustriais, 7(2), 188-198.

Casadesus-Masanell, R., & Ricart, J. E. (2010). From Strategy to Business Models and onto Tactics. Long Range Planning, 43(2-3), 195-215.

Chesbrough, H. W. (2010). Business model innovation: Opportunities and barriers. Long Range Planning, 43(2-3), 354-363.

Chesbrough, H. W. (2003). The era of open innovation. Mit Sloan Management Review, 44(3), 34-41.

Chesbrough, H. W., & Rosenbloom, R. S. (2002). The role of business model in capturing value form innovation: evidence from Xerox Corporation’s technology spin-off companies. Industrial and Corporate Change, 11(3), 529-555.

Coase, R. (1937). The nature of the firm. Economica, 4(16), 386-405.

Coles, J. W., & Hesterly, W. S. (1998). Transaction costs, quality, and economies of scale: examining contracting choices in the hospital industry. Journal of Corporate Finance, 4(4), 321-345.

Demil, B.; Lecocq, X. (2010). Business Model Evolution: in search of dynamic consistency. Long Range Planning, 43(2-3), 227-246.

Gassmann, O. G., Frankenberger, K. & Csik, M. (2014). The St. Gallen Business Model Navigator. Working Paper of University of St. Gallen.

Im, K., & Cho, H. (2013). A systematic approach for developing a new business model using morphological analysis and integrated fuzzy approach. Expert Systems with Applications, 40(11), 4463–4477.

Kenworthy, T., & Verbeke, A. (2015). The future of strategic management research: Assessing the quality of theory borrowing. European Management Journal, 33, 179-190.

Kumar, P., Dass, M., & Kumar, S. (2015). From competitive advantage to nodal advantage: Ecosystem structure and the new five forces that affect prosperity. Business Horizons, 58(4), 469-481.

Lambert, S., & Davidson, R. (2013). Applications of the business model in studies of enterprise success, innovation and classification: An analysis of empirical research from 1996 to 2010. European Management Journal, 31(6), 668-681.

Maglio, P. P., & Spohrer, J. (2013). A service science perspective on business model innovation. Industrial Marketing Management, 42(5), 655-670.

Markides, C., & Geroski, P. (2005). Fast Second: how smart companies bypass radical innovation to enter and dominate new markets. Jossey-Bass, San Francisco.

Mason, K., & Spring, M. (2011). The sites and practices of business models. Industrial Marketing Management, 40(6), 1032-1041.

Monteverde, K., & Teece, D. J. (1982). Suppliers witching costs and vertical integration in the automobile industry. The Bell Journal of Economics, 13(1), 206-213.

North, D. (1990). A transactions cost theory of politics. Journal of Theoretical Politics, 2(4), 355-367.

Osterwalder, A., & Pigneur, Y. (2010). Business model generation: A handbook for visionaries, game changers, and challengers. New Jersey: John Wiley & Sons.

Osterwalder, A., Pigneur, Y., & Tucci, C. L. (2005). Clarifying business models: Origins, present and future of the concept. Communications of the Association for Information Systems, 15, 2-40.

Pereira, B. A., & Caetano, M. (2015). A conceptual business model framework applied to air transport. Journal of Air Transport Management, 44-45, 70-76.

Petrini, M., Scherer, P., & Back, L. (2016). Modelo de negócios com impacto social. Revista de Administração de Empresas, 56(2), 209-225.

Porter, M. E. (1985). Competitive advantage: creating and sustaining superior performance. New York: Free Press, Collier Macmillan.

Porter, M. E. (1996). What is strategy? Harvard Business Review, 74(6), 61-78.

Serio, L. C., & Sampaio, M. (2001). Projeto da cadeia de suprimento: uma visão dinâmica da decisão fazer versus comprar. Revista de Administração de Empresas, 41(1), 54-66.

Sorescu, A., Frambach, R., Singh, J., & Bridges, C. (2011). Innovations in retail business models. Journal of Retailing, 87, S3-S16.

Shafer, S. M., Smith, H. J., & Linder, J. C. (2005). The power of business models. Business Horizons, 48(3), 99-207.

Silva, V. L. S., Rodrigues, F., Sannomya, J., Peres, L., & Corvacho, T. (2009). Integração vertical como estratégia de apropriação de valor: um estudo exploratório no canal de distribuição de produtos agrícolas. Revista Gestão e Produção, 16(1), 44-53.

Teece, D. J. (2010). Business models, business strategy and innovation. Long Range Planning, 43(2-3), 172–194.

Tikkanen, H., Lamberg, J., Parvinen, P., & Kallunki, J. (2005). Managerial cognition, action and the business model of the firm. Management Decision, 43(6), 789-809.

Trimi, S.; Berbegal-Mirabent, J. (2012). Business model innovation in entrepreneurship. International Entrepreneurship and Management Journal, 8(4), 449-465.

Venkatesan, R. (1992). Strategic sourcing: to make or not to make. Harvard Business Review, 70(6), 98-107.

Williamson, O. E. (1991). Strategizing, economizing and economic organization. Strategic Management Journal, 12, 75-94.

Williamson, O. E. (1985). The Economic Institutions of Capitalism. New York: The FreePress.

Williamson, O. E. (2010). Transaction Cost Economics: The Natural Progression. Journal of Retailing, 86(3), 215–226.

Zott, C., Amit, R., & Massa, L. (2010). The business model: theoretical roots, recent developments, and future research. IESE Business Scholl-University of Navarra.

Full Text: PDF


  • There are currently no refbacks.

Iberoamerican Journal of Strategic Management  e-ISSN: 2176-0756

Licença Creative Commons
Este obra está licenciado com uma Licença
Creative Commons Atribuição-NãoComercial-CompartilhaIgual 4.0 Internacional