Abstract
Extant research has highlighted the difficulties incumbents face when they are confronted with discontinuous innovations. Previously, the adoption of discontinuous digital innovations in health care by incumbents was claimed to be primarily affected by the regulatory framework. However, recent research in other contexts has shown that the adaptability of incumbents is influenced by their ability ...
Abstract
Extant research has highlighted the difficulties incumbents face when they are confronted with discontinuous innovations. Previously, the adoption of discontinuous digital innovations in health care by incumbents was claimed to be primarily affected by the regulatory framework. However, recent research in other contexts has shown that the adaptability of incumbents is influenced by their ability to leverage their specialized complementary assets. Our paper builds on this resource-based view of complementary assets and adds the role of the regulatory framework as a driver of incumbent adoption of discontinuous digital innovations in health care to quantify the relative importance of institutional and organizational factors. Our findings from logistic regressions suggest that complementary assets have a stronger effect on the adoption of telemedicine applications than the regulatory framework. In addition, we observe interesting application-specific differences. Overall, these findings advance the understanding of institutional and organizational drivers of the diffusion of discontinuous digital innovations in regulated contexts and provide policy makers with important recommendations.