Innovation and imitation in copycat business models - Part 1 of 6

Innovation and imitation in copycat business models: Is it a simple case of ‘zero to one’? This session took place on April 2016 Part 1 of 6 - Chris Corbishley, PhD Candidate, Imperial College Business School & London Stock Exchange With the proliferation of innovative, highly successful but replicated online business models and the march of globalization, copycat businesses are in the rise. As early as Shakespeare, the word ‘primate’ was used to mean both ape and to imitate. Even further back in history, Aristotle remarked that ‘man differs from other animals because of his greater aptitude for imitation’. Imitation is how languages are learned, how culture diffuses and (how sociologists would describe as) the functioning of modern society through a process of isomorphism. But what does it mean for business? Is imitation an effective and sustainable strategy for entrepreneurs? And is it good or bad for society? What is the use of the term ‘copycat’, in terms of its novelty and relevance, is it simply another way of describing the innovation diffusion process and fast-follower strategies or can imitation be analysed in a new light using the perspective of business models? In an interview with Oprah Winfrey in 2011, Ralph Lauren explained that his success was due to his ability to crack this code, effectively copying and spiking emergent trends in the fashion industry season after season. This is similar to the approach adopted by the high street fashion business, Zara...