The Business Model Essay - 1107 Words

The Business Model Michael Lewis (2000: pages 256-257) scoffed at the whole attempt to formalize the definition of business models when he wrote that â€Å" â€Å"Business Model† is one of those terms of art that were central to the Internet boom: it glorifies all manner of half baked plans. All it really meant was how you planned to make money.† In an abstract of his paper â€Å"A Mesoscopic Approach to Business Models: Nano Research on Management† published in â€Å"Economic Issues in China† Dr. Junyi Weng stated that â€Å"Business Model, a well known important and extensively used term by media, management consultancy and business top managers, is just in an embarrassment that there is no consensus about its definition and few papers in academic†¦show more content†¦However, this paper chooses this definition as theoretical perspective of analysis for this paper subject to the following modifications: A business model is overall framework and philosophy by which a company (intends or) creates value in the market place through enhancement of its own combination of raw or in-put materials to create products (tangible and intangible including services), product packaging and systematic distribution in order to generate some or the best possible profit. We wish to adopt the principle enunciated by H. Chesbrough and R. S. Rosenbloom that The Business model mediates between the technical and economic domain: Measured in technical domain measured in economic domain From this descriptive model a business model can be viewed as the activity processes, which are combined and designed for generating advantage or profit for a company. There are two levels of technological intervention in the Business endeavour, which we define as â€Å"technology of production† and the â€Å"technology of trade.† These two levels of technological intervention call for a re-evaluation of business models either for modification or for re-invention. The technology of production may bring about greater efficiency in production, improving quantity or quality ofShow MoreRelatedBusiness Models Canvas And Business Model2281 Words   |  10 PagesBusiness Model Canvas and Business Model Innovation: Business Model Canvas is one of the most popular models used by companies to help them tread through the difficult scenarios of current world. The article starts with a brief introduction about BMC and its components which sets the tone for rest of the article. Certain terms introduced and defined in the BMC explanation are used in the business model innovation framework discussed further. 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The model was pioneered by magazines and newspapers, but is now used by many businesses and websites. we ve got to provide an on-going, novel yet practical service that adds value to customers lives by encouraging/changing habits. You need to relate to your customers lifestyle and that can only be done successfully if you have a common interest and passionRead MoreCreating A Successful Business Model1583 Words   |  7 PagesIntroduction Creating a successful business model requires a wide variety of detail. Numerous businesses decide simply to enter a market with standard practices and standard products that are related to a particular product or service, however, countless others attempt to innovate by creating new services or business models. Innovation is done through small-medium enterprises (SME) or through innovation-driven enterprises (IDE). The following paper will examine two broad firms and their various detailsRead MoreTraditional Offline Business Models1331 Words   |  6 PagesTraditional offline business models have been adapted for the internet but remain very similar online as to the offline world. In essence all models provide some form of product or service in exchange for financial reward. However not all online business models are equal. Selecting the right model for your online business warrants careful consideration because each model requires different skills and time commitments to operate. Not all models will suit you or compliment your business interests. AlsoRead MoreStrategy Vs. Business Model1536 Words   |  7 PagesStrategy Vs Business Model Lot of researchers have tried to distinguish between Strategy and Business model and the literature tries to give a definition for Strategy and Business model. The Article â€Å"From Strategy to Business Model and on to Tactics† discuss Strategy and Business model as follows; Business Model refers to the logic of the firm, the way it operates and how it creates value for its stakeholders and Strategy refers to the choice of business model through which the firm will competeRead MoreBusiness Model : An Organization1899 Words   |  8 Pages Business Model student 4/2/2015 â€Æ' A business model explains the basis of how an association creates, distributes, as well as captures financial, communal, along with other shapes of importances. And also a business model is too implicit as a holistic way towards illumination how firms accomplish commerce .The business model theory is becoming more and more popular inside IS, supervision and plan literature. It is applied within a lot of fields of investigate, including equally traditional