When regulatory changes become a driver for business model innovation

Purpose The purpose of this paper is to provide an analysis of how an airport’s business model (BM) has been innovated. In particular, it considers a BM innovation owing to an exogenous driver, i.e. a change in the legislative environment. Design/methodology/approach The paper presents an in-depth case study. It analyses the case of an Italian regional airport that has been renewed by changes in the National Plan of Transport. Findings The paper extends previous research on BM and air transport industry in two ways. First, the authors contribute to Gillen’s (2011) framework, via introducing a new kind of ownership/governance structure, that of long-term concession, characterized by the concession of the comprehensive management to a private company for 30 years. Second, the authors look at how a BM has been implemented and used as a manipulating device over the two phases of the airport development, namely, incubation and generation. Originality/value The paper provides an in-depth case study on an airport BM innovation.