Innovation in emerging markets used to be a long catch-up process that requires investments in internal R&D. Now, this process involves aligning external and internal actors with company's innovation strategy and capabilities. This study illustrates how a Brazilian multinational - Natura Cosmetics - progresses from traditional strategy formulation to open strategy and open innovation processes when increasing the involvement of external actors. In different phases of open innovation and strategy the company acquired new capabilities to implement several models of collaboration besides the innovation ecosystem engagement as the partnerships became more important to the company and its innovation strategy. The results also showed that companies in emerging markets have different open innovation challenges than companies in emerged markets and these particularities in many cases are related to need and opportunity of new innovation capabilities.