An evolutionary economics approach to ecosystem dynamics

Biology and evolution lie at the heart of the ecosystem metaphor that is recurrently applied in the digital era. Although the evolution and analogy with evolutionary biology is acknowledged within the research domains of business ecosystems and digital ecosystems, several key definitions and self-organizing properties of ecosystems have not been fully explored. In addition' the diffusion process of radical innovations altering the structure of an ecosystem remains elusive. This paper addresses this deficiency through a cross-fertilization of multiple research domains, by introducing evolutionary economics concepts based on insights from biology. The research synthesis presented serves for the introduction of a novel perspective on ecosystem analysis. Practitioners will gain insight in how to apply concepts from evolutionary economics when determining their position in an ecosystem. Trade-offs can then be considered and balanced to positively impact firm performance as well as the ecosystem in which the firm operates.