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NESTA Crime Online - University of Brighton Repository

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A digital business ecosystem is one that is facilitated by the extensive use <strong>of</strong> digital<br />

technologies, without which firms will be disadvantaged in their business operations. 118<br />

Thus, cybercriminals involved in credit card and identity theft operate in a digital<br />

business ecosystem.<br />

In essence, innovation studies tell us that a healthy digital business ecosystem requires:<br />

• a fluid value chain that supports innovative activity and responds to changing<br />

needs and environment<br />

• the capabilities required to undertake innovation<br />

• the business models that are adopted to make the most pr<strong>of</strong>itable use <strong>of</strong> the<br />

various sources <strong>of</strong> capabilities.<br />

2.1 The cybercrime value chain<br />

The concept <strong>of</strong> value chain is a useful tool to understand the sequence <strong>of</strong><br />

activities required to perpetrate cybercrime and how they link to each other.<br />

Value chain analysis describes how activities integrate in the production <strong>of</strong> goods and<br />

services. This is a relevant framework for understanding the phenomenon <strong>of</strong> cybercrime<br />

and its dynamics.<br />

Organisations are increasingly operating in a global environment. Globalisation is now<br />

understood not only as a mere expansion <strong>of</strong> economic activities across boundaries but<br />

also – perhaps more importantly – as the functional integration 119 <strong>of</strong> internationally<br />

118 Scholars have defined the digital ecosystem as the enabling technology for a business ecosystem. Digital<br />

technologies support the distribution <strong>of</strong> technologies and the development <strong>of</strong> “evolutionary business models for<br />

organizations.” See P. Dini and F. Nachira, (2007), “The paradigm <strong>of</strong> structural coupling in digital ecosystems,<br />

“ in A. Corallo, A., G. Passiante, A. Prencipe, (2007), The Digital Business Ecosystem (Eds). Cheltenham:<br />

Edward Elgar, pp.33-52, at p.42.<br />

119 Functional integration defines the way corporations (particularly multinational companies) are able to<br />

function as a globally integrated unit. A clear example is represented by large firms in the automobile industry,<br />

which are characterised by global fragmentation <strong>of</strong> their production, establishing complete manufacturing and<br />

assembly plants in numerous individual countries.<br />

Page 39

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