In summary:
- This chapter introduced what is business model, the diversity of business model, the component of business model and the importance of business model.
- Business model is a plan or diagram for how it competes, uses its resources, structures its relationships, interfaces with customers, and creates value to sustain itself on the basis of the profits it generates.
- There are four component of business model which are core strategy, strategic resource, partnership network and customer interface.
- Business model is very useful for a new venture to have a holistic manner to look at itself and with an effective business model, and close attention to primary elements is essential for a new venture’s success. Besides, a firm can also motivate its customers and partners to play along.
Note : Business Model