Navigating the Uncertain Metaverse: Embracing Technological Adoption in a Shifting Landscape

Abstract

When it comes to the adoption of emerging technologies, companies often struggle with formulating the best strategy to integrate these advancements, especially given the inherent uncertainties associated with it. Understanding their potential to create a competitive advantage introduces an additional layer of complexity. This is not an exception in the entertainment industry. As these companies strive to create value for their stakeholders and stay current with market trends, they must carefully determine the optimal technologies in which to invest. Using a case study methodology, this research examines the experiences of 'Company DK', an entity in the entertainment industry, as it incorporates the Metaverse into its operations. To increase the credibility of this study, data from other relevant entities in the entertainment industry, as well as influential figures from companies known for their frequent adoption of technology, have also been included. Insights were derived from a total of 17 qualitative interviews, as well as from the analysis of secondary data. This contributes to the existing body of literature on the adoption of emerging technologies and enhances the understanding of the relatively unexplored topic of the Metaverse, especially with regards to its adoption. Grounded in a pragmatic philosophy, this research focuses on four fundamental areas of investigation essential for addressing the problem statement: a) risk analysis capacity, b) resource allocation, c) early understanding of the purpose of tech adoption, and d) organizational uncertainty. Consequently, a theoretical framework for evaluating technology adoption strategy under uncertainty is proposed and applied. However, the data collected, and its subsequent analysis necessitate modifications to the initial framework. These changes account for the internal factors within a company that affect the adoption of emerging technologies. This study underscores the critical role of effective strategic evaluation in technology adoption, suggesting that such evaluation can minimize uncertainties, enhance competitiveness, and spur value creation. Thus, this research can play a key role in enabling entertainment companies to respond more effectively to unpredictable outcomes when venturing into uncertain and unexplored technological territories.