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Purpose

This study examines how risks are identified, managed and governed in digital business models within the creative industries.

Design/methodology/approach

A multiple case study was conducted with three creative firms – two in video games and one in transmedia – selected for their varying levels of business model innovation.

Findings

Creative firms face four main categories of risk: financial, technological, market and user experience. Risk management relies on prototyping and testing practices, which vary according to risk type and intensity. The study also proposes a framework for risk process management with three governance approaches that guide risk management and strategic choices toward viable and sustainable business models.

Research limitations/implications

Although limited to three cases, the study provides valuable insights into how creative firms can minimize risks when redesigning their business models.

Practical implications

The study clarifies the risks associated with digital business change in the creative industries and highlights concrete tools – testing practices and governance approaches – to support the development of viable digital business models.

Originality/value

Business model design is becoming increasingly complex under technological change. Creative firms face a unique tension between novelty and market success, which exposes them to multiple risks. Yet the literature has largely overlooked how such risks are managed during business model design. This study contributes to filling this gap by identifying mechanisms that enable firms to manage risks effectively while pursuing innovation.

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