Evolution of business strategies: Insights and implications for future practices

Abstract

The years between 2020 and 2025 saw levels of digital disruption and environmental volatility never seen before, leading to the most significant shift in business strategy development at the time. The findings synthesized in this literature review from 30 peer-reviewed academic articles reveal the emerging implications of moving from industrial competitive positioning toward competing dynamically enabled by the digital age. The new approaches emphasize change levers, such as organizational agility, capability building, and sustainable innovation. The review presents two main insights: Fine-tuning: today, organizations that are winning are successful in merging digital technologies with dynamic capabilities that entail sensing opportunities within the market, reconfiguring resources, and creating a sustainable competitive advantage in volatile environments. Future Shifts in Strategic Frameworks: In strategic frameworks, ambidexterity balancing exploitation (taking advantage of existing resources) and exploration (searching for new resources) needs to be balanced by embedding ESG into the core of the business model.