Business Model Innovation for Sustainable Competitive Advantage: A Machine Learning Approach

Authors

  • Kingshuk Srivastava Department of Data Science and Big Data, School of Computer Science, IILM, Greater Noida, India Author
  • Nalla Bala Kalyan Department of Management Studies, S.A. Engineering College, Chennai, India Author
  • Wasid Khan EFSIM Facilities Management Company, Riyadh, Saudi Arabia Author
  • Kanchan Natha Shinde Commerce and Management, Savitribai Phule Pune University, Pune, India Author
  • Shakhlo Begmatova Department of Corporate Finance and Securities, Tashkent State University of Economics, Tashkent, Uzbekistan Author
  • Manish Kaushik Apex School of Basic, Life and Applied Sciences, Apex University, Jaipur, India Author

DOI:

https://doi.org/10.68337/cpsm.v1.i1.2026-016

Keywords:

Business model innovation, sustainable competitive advantage, ESG, machine learning, logistic regression, support vector machine, corporate sustainability, predictive analytics

Abstract

In an increasingly competitive business environment, organizations must innovate continuously and adopt workable practices to succeed. Business model innovation has become an effective means of adding value, improving efficiency, and securing a favorable market position. This paper investigates the link between sustainability indicators and competitive advantage using machine learning methods. A dataset of publicly listed companies containing environmental, social, and governance (ESG) variables was analyzed to predict overall corporate sustainability grades. Three classification models were implemented: logistic regression, support vector machine (SVM), and k-nearest neighbors (KNN). Logistic regression and SVM achieved the highest prediction accuracy, 94.37%, outperforming KNN (88.73%). These results suggest that ESG indicators are reliable predictors of market positioning and sustainability performance. The study also indicates that sustainability-based, innovative business models can strengthen stakeholder trust and sustainable competitive advantage, and that machine learning can help investors and managers make informed strategic decisions.

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Published

2026-09-30 — Updated on 2026-10-01

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Data Availability Statement

The data supporting the findings of this study are available from the corresponding author upon reasonable request.

How to Cite

Business Model Innovation for Sustainable Competitive Advantage: A Machine Learning Approach. (2026). Conference Proceedings in Science and Management, 1(1), 65-68. https://doi.org/10.68337/cpsm.v1.i1.2026-016 (Original work published 2026)