Life Cycle of Digital Products and Non-Linear Scenarios

Abstract

Digital products are characterized by fast scalability, continuous renewal and close dependence on users’ data. Such features cause high uncertainty, which requires a new approach to administration that could respond quickly to changes in demand, technological shifts and development of business-models. Research topicality is stipulated by the necessity to work out models that can adequately demonstrate the development of digital products in conditions of high changeability. The goal of the research is to elaborate an integrated model of digital product life cycle administration, which can combine the classical eight-stage model with principles of non-linear development borrowed from the theory of organization life cycle. Research methodology is based on systematic literature review, comparative analysis and conceptual modeling. Research findings show that the proposed model covers all stages of digital product life cycle, from the idea and concept to development, testing, launch, active growth, maturity, slump and withdrawal from market. Special attention is paid to scenario deviations, such as concept alteration, re-launch, integration, repeated growth and controlled completion, which can adapt model to conditions of unstable environment. Practical importance of the model implies its usage for strategic planning and optimizing managerial solutions, as well as possibility to forecast risks and transitions from one phase to another. Research restriction is connected with its conceptual nature, which requires further empiric validation and elaboration of quantitative methods of scenario transition evaluation. Future investigations can aim at adaptation of the model to different branches of digital economy and study of the impact of institutional factors on dynamics of digital product life cycle.