From rags to riches: Business model innovation shifts in the ecosystem of the Chinese Super League

The Chinese Super League (CSL) has witnessed unprecedented growth in recent years via evolutions in Chinese football clubs’ business models and the league environment. This paper analyses business model innovation (BMI) in the light of changing ecosystem factors via a case study of the Guangzhou Evergrande Taobao FC. It analyses the types of BMI and finds that BMI constancy and novelty are key to the club’s success. The study identifies policy and investors as the two ecosystem factors with the most significant influence on the club’s BMI. We argue that CSL clubs have unique and under-rated value capture structures, where the value is captured by their investors rather than by the clubs themselves. Being sensitive to the ecosystem is another key factor and we give guidance on how to anticipate ecosystem changes and adjust business models accordingly. This can be generalized to other organizations and industries.