## 2 Theoretical Background  
### Innovative Business Models in Industry 4.0  
Today's frenctic pace of technological innovation has created a business environment more complex and ambiguous than ever before. These developments significantly prevent traditional business models from maintaining their competitive advantage, as flexibility and speed come to the fore in new markets, which in turn require new forms of organizing value creation [14]. Thus, although technological innovation itself is critical to meeting the demands of today's markets, it must be accompanied by a sound innovative business model structure and enable businesses to compete successfully. The relationship between technological innovation and innovative business models is actually much more complex and multifaceted, and it is far more than necessary for the competitive advantage of businesses [15; 16]. It was clarified that the right business models improve the capabilities of companies to respond effectively and immediately to the intense changes in the modern business environment [17]. Business models essentially mediate the commercialization of new technologies and they can be a source of innovation in themselves and also help other types of innovation by promoting technological innovation, harnessing it, eliciting it, and further encouraging the element of innovation, including cross-industry technology, leading to the merging of previously separate technologies into new business applications [18; 19]. Therefore, in the age of Industry 4.0, the competitive advantage of businesses depends on more than only the technology itself, but rather also how it is \"transformed\" into business models [20; 21]. Typically, a business model can be seen as a system of directing resources, including social, through interdependent activities focused on value creation and the delivery and capture of value [22; 23]. The enterprise value architecture and the tools that support the development of value propositions are considered to be the first dimension of value creation. They usually have to do with how resources and processes are set up. The second most important element of a business strategy is giving value to the customer,as expressed through utility, emotional value, and social value. The third dimension examines how an organizational strategy generates income and profits for the company by converting the value supplied to customers [24; 25]. It should be noted at this point that Industry 4.0 aims to innovate primarily because doing so enables the production, delivery, and acquisition of distinctive value and competitive advantage. Innovations aim to benefit both consumers (new goods, new customer service techniques, etc.) and businesses (environmental protection, new technology, new value chains, greater productivity, etc.). Comparable business models could be an indicator of organizational innovation, which is crucial for competitiveness [20; 26]. The implementation of Industry 4.0 has resulted in the identification of four stages of strategies for innovation-based business models. According to [27; 28; 29], the following stages of these models are mentioned:  
* Process optimization, both internal and external: This shift placed a heavy focus on incremental innovation, which enhances a company without necessitating major changes. New technologies are only implemented when the architecture of value creation (key resources and activities) is optimized to boost performance and productivity (lower costs, time and failure rates, train personnel, etc.) without taking significant risks. * This specific incremental innovation focuses on improving value delivery (value proposition through product and service offerings, customer segment, channels, and customer interactions) in order to improve the user experience.