Abstract
FinTech, abbreviated from Financial Technology, is a phenomenon which was expected to disrupt financial services. However, the turmoil in the industry is not only to do with startups, having started already with the 2008 financial crisis. The digitalization and regulatory changes that followed forced incumbent financial service providers – including banks and insurance companies – to revise their business models, meaning the technology they create and what they get from their partners. At the same time, new market entrants, known as FinTech start-ups, are increasing their market share especially in payments and investments.
Previous research on FinTech has focused mainly on startups and innovation, meaning that industry-wide changes in value creation are yet to be discovered. The purpose of this dissertation is to explore and analyze how value creation is reconfigured in financial services. The research builds on four qualitative studies reported in articles that discuss the phenomenon from different perspectives.
The aim in Article I enhances the understanding of how Artificial Intelligence technology is used as a means of value creation in insurance services. Article II considers the changes from the perspectives of a market entrant and an incumbent. Article III analyzes service innovation from the market entrant’s perspective, and builds a framework of the innovation stack. Finally, Article IV follows how incumbent financial service providers reacted to the FinTech phenomenon to find a strategic fit.
According to the conclusions drawn from these articles, digitalization and regulation transform the ownership of processes and resources as the foundation of value creation. As a result, a new framework for the reconfiguration of value creation is introduced in this dissertation. A new concept, namely the Value Enabler, is suggested. This refers to incognito service providers using Application Programming Interfaces (APIs) to share their processes and resources among their partners, which then in combination with their own resources and processes facilitate the customer’s value-creation process. Managerial implications are presented and avenues for future research are mapped on the basis of the research results.
Previous research on FinTech has focused mainly on startups and innovation, meaning that industry-wide changes in value creation are yet to be discovered. The purpose of this dissertation is to explore and analyze how value creation is reconfigured in financial services. The research builds on four qualitative studies reported in articles that discuss the phenomenon from different perspectives.
The aim in Article I enhances the understanding of how Artificial Intelligence technology is used as a means of value creation in insurance services. Article II considers the changes from the perspectives of a market entrant and an incumbent. Article III analyzes service innovation from the market entrant’s perspective, and builds a framework of the innovation stack. Finally, Article IV follows how incumbent financial service providers reacted to the FinTech phenomenon to find a strategic fit.
According to the conclusions drawn from these articles, digitalization and regulation transform the ownership of processes and resources as the foundation of value creation. As a result, a new framework for the reconfiguration of value creation is introduced in this dissertation. A new concept, namely the Value Enabler, is suggested. This refers to incognito service providers using Application Programming Interfaces (APIs) to share their processes and resources among their partners, which then in combination with their own resources and processes facilitate the customer’s value-creation process. Managerial implications are presented and avenues for future research are mapped on the basis of the research results.
| Original language | English |
|---|---|
| Place of Publication | Tampere |
| Publisher | Tampere University |
| ISBN (Electronic) | 978-952-03-3122-1 |
| ISBN (Print) | 978-952-03-3121-4 |
| Publication status | Published - 2023 |
| Publication type | G5 Doctoral dissertation (articles) |
Publication series
| Name | Tampere University Dissertations - Tampereen yliopiston väitöskirjat |
|---|---|
| Volume | 888 |
| ISSN (Print) | 2489-9860 |
| ISSN (Electronic) | 2490-0028 |