Brokerage function in virtual innovation environment

Abstract

This thesis examines the brokerage function in virtual innovation environments and analyses the roles and importance of brokers in facilitating value creation. As innovation processes increasingly take place in digital and distributed settings, organisations rely more on external knowledge and collaboration across organisational and geographical boundaries. In such environments, brokerage plays key role in connecting actors, coordinating activities, and supporting knowledge flow.

The objective of this study is to develop a clearer understanding of how brokerage functions operate in virtual innovation environments and how they contribute to communication, knowledge flow and value creation. This research combines a literature review with two case analyses: GitHub and Lahti Living Lab. The data consists of academic literature, public documentation and prior research on the selected cases, and it is analysed using thematic analysis.

This study also demonstrates that brokerage function is shaped by context. In digital platforms such as GitHub, brokerage is embedded in platform features and visible contribution mechanisms, while in hybrid environments such as Lahti Living Lab it relies more on facilitation practices and stakeholder coordination. So, the main findings of this research is that brokerage facilitates value creation in virtual innovation environment by connecting actors, structuring information, coordinating collaboration, supporting communication and knowledge flow. The findings contribute to a better understanding of brokerage as a central enabling process in virtual innovation environments and provide insights for organisations and platform managers in designing more effective innovation processes.