The purpose of this chapter is to
examine in more detail the nature of innovation processes and outcomes in the
S-D logic framework. We focus on how effectuation can supplement S-D logic,
particularly in the analysis of resource integration in innovation processes.
Thus, we highlight those concepts of the effectual theory that can inform the
process of innovation within the S-D logic framework. In addition, the outcomes
of these processes, in the form of novel value propositions and transformed
service ecosystems, are examined. One important aspect in
innovation processes is the role of experimentation. It is needed for the
creation of innovative value propositions, which can be understood as an
invitation to other actors to engage in value co-creation in ways that are both
novel and useful for these actors. Moreover, we discuss the role of multi-actor
negotiations in the institutionalization process of markets.