When Technology Assets become Liabilities: Evolution of the Business Process Management Systems Market

Abstract

Tracing market entries and exits, we present a longitudinal analysis of the marketplace for Business Process Management Systems and identify four successive phases of development that match the theory of industry life cycles: Introduction, Growth, Maturity, and Decline. Looking more closely at the transitions between these phases, we show that external technology developments can be seen as environmental shocks that signal the transition from one life cycle phase to the next. Our findings provide a novel mechanism for analysts to forecast possible technology market shifts.