Emerging industries and, even more so, emerging business models, have been the subject of little research in management. Business models are, in fact, difficult to understand in a changing environment. When they are the subject of a typology, the movement of competitive adaptation and technological upheavals quickly undoes the schematizations that have just been developed. The evolutionary and dynamic nature of business models must therefore be better understood. To be able to better understand emerging business models, we must be able to understand their evolution and their progressive structuring and institutionalization. To this end, we must build not static typologies, but dynamic taxonomies, developed according to a quantitative and articulated approach. In this article, we propose a statistical procedure, the TwoStep method, for generating business model taxonomies in emerging industries. By proposing a simple procedure for understanding evolving and dynamic business models, we seek to contribute to the literature on emerging business models, which lacks a concrete statistical procedure for building model taxonomies. To illustrate the steps of this procedure, we apply the TwoStep classification to a current emerging business model case: iPhone applications.
