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Business model

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Business model - 9 parts.

Business model - 9 parts.

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    Business model Business model Presentation Transcript

    • Business model
    • Part # 1: What do you do? Part # 2: Why do you do what you do? What is the purpose? Part # 3: What needs do users have? Why do they have these needs? Part # 4: In which markets do you work? Where are the users of your products / services? Part # 5: What communication and distribution channels do you use? Why? Part # 6: Which types of capital do you have? Why? Part # 7: Who are your supplier partners? Why? Part # 8: How are you paid / supported / praised for what you do? Part # 9: Which cultures, leaders, and ways of organizing will help make things work?
    • Part # 1 What do you do?
    • Products Customer experiences Services
    • Industry attractiveness http://www.mckinseyquarterly.com/Strategy/Strategic_Thinking/Enduring_ideas_The_GE-McKinsey_nine-box_matrix_2198 Competitive strength
    • Seeking out the new and unusual should be the strategist’s aim. https://www.mckinseyquarterly.com/Strategy/Strategic_Thinking/Hidden_flaws_in_strategy_1288
    • http://www.quicksprout.com/2011/01/20/my-5-favorite-but-often-ignored-marketing-tactics/ http://images.businessweek.com/ss/08/02/0225_doodles/index_01.htm http://www.jarche.com/2010/05/heads-you-win-tails-you-lose/ Sources
    • Strategic positioning means performing different activities from rivals’ or performing activities in different ways. http://www.ipocongress.ru/download/guide/article/what_is_strategy.pdf
    • A company’s strategy is determined by the types of initiatives that management invests in. Source Clayton Christensen. http://hbr.org/2010/07/how-will-you-measure-your-life/ar/pr
    • Market growth Question marks Stars Cash cows Market share Adapted from the bcg matrix.
    • Market growth Question marks Stars Try out ideas with growth potential. Develop great concept further. Cash cows Look out for new “question marks” to invest in. Market share Adapted from the bcg matrix.
    • Low market share High market share Question marks  Select ideas with the High growth largest potential.  Invest in ideas with the largest potential. Stars  Growth strategy.  Invest to stay innovative and efficient. Low growth Adapted from the bcg matrix. Cash cows Invest money generated from cash cows in ”question marks” / new promising ideas.
    • Strategic innovation sweetspot Purpose Trends Different types of capital http://blogs.hbr.org/govindarajan/2011/03/todays-innovative-idea-can-ris.html
    • Further inspiration http://www.slideshare.net/frankcalberg/improve-the-customer-experience http://www.slideshare.net/frankcalberg/pestel
    • Part # 2 Why do we do what we do? What is the purpose?
    • Further information http://www.slideshare.net/frankcalberg/what-is-the-company-purpose http://www.frankcalberg.com/strategychange
    • Part # 3 What needs do users have? Why do they have these needs?
    • Further inspiration http://www.scribd.com/doc/56785190/Customer-Needs
    • Part # 4 In which markets do you work? Where are the users of your products / services?
    • Management’s overriding goal is to position a company and its products where the market opportunity is highest. https://www.mckinseyquarterly.com/Best_practice_does_not_equal_best_strategy_809
    • 80% of growth is explained by decisions about where to compete or by market selection. http://www.mckinsey.com/Insights/Strategy/The_art_of_strategy?cid=strategy-eml-alt-mkq-mck-oth-1310
    • Where are people who need / want what you do? 1. On a certain street. 2. In a certain village. 3. In a certain part of a city. 4. In a certain city. 5. In a number of cities across a region. 6. In a certain region of a country. 7. In a certain country. 8. In a certain number of countries. 9. On a certain continent. 10. On certain continents. 11. All over the world. Adapted from http://www.strategy-business.com/article/cs00002?pg=all
    • Low cost Broad target Differentiation Low cost strategy Differentiation strategy Narrow target Examples Certain people and/or countries Differentiation focus strategy Low cost focus strategy Example Young people in Tanzania. http://www.slideshare.net/IanMcCarthy/when-customers-get-clever-managerial-approaches-to-dealing-with-creative-consumers
    • When you go to a foreign market, remember that you are not trying to serve the whole market. You are looking for the segment that values what you do. So when you go to Spain, don’t try to compete like existing Spanish companies. Michael Porter Magretta, Joan: Understanding Michael Porter: The essential guide to competition and strategy, location 2550.
    • Further information http://www.frankcalberg.com/globalization http://www.frankcalberg.com/globalmarkets
    • Part # 5 What communication and distribution channels do you use? Why?
    • Supplier partners You Agent Internet Wholesaler Retailer / shop / school / hospital / platform Users
    • To reduce the time it takes to distribute products to customers, Zara, Dell, and Timbuk2 work with production facilities that are close to end customers. Source http://hbr.org/2011/05/how-to-build-risk-into-your-business-model
    • Instead of building large stocks of furniture, as its competitors do, MyFab provides a catalog of potential designs. Customers vote on them, and the most popular ones are put into production and shipped to buyers directly from the manufacturing sites - with no retail outlets, inventories, complicated distribution, or logistics networks. http://hbr.org/2011/05/how-to-build-risk-into-your-business-model
    • By processes, we mean the patterns of interaction, coordination, communication, and decision making employees use to transform resources into products and services of greater worth. Such examples as the processes that govern product development, manufacturing, and budgeting come immediately to mind. http://hbr.org/2000/03/meeting-the-challenge-of-disruptive-change/ar/1
    • Further inspiration http://www.slideshare.net/frankcalberg/11-advantages-of-using-a-blog-for-teaching http://www.slideshare.net/frankcalberg/twitter-for-education
    • Part # 6 Which types of capital do you have? Why?
    • Further inspiration http://www.scribd.com/doc/36349465/Capital
    • Part # 7 Who are your supplier partners? Why?
    • Source Magretta, Joan: Understanding Michael Porter: The essential guide to competition and strategy.
    • http://www.mckinseyquarterly.com/Strategy/Strategic_Thinking/Enduring_Ideas_The_business_system_2379
    • Further inspiration https://delicious.com/frankcalberg/crowdsourcing
    • Part # 8 How are you paid / supported / praised for what you do?
    • Further inspiration https://delicious.com/frankcalberg/crowdfunding http://www.slideshare.net/frankcalberg/how-are-people-paid-for-what-they-do
    • Part # 9 Which cultures, leaders, and ways of organizing will help make things work?
    • Further inspiration http://www.frankcalberg.com/culturechange
    • Thank you for your interest. For further inspiration and personalized services, please feel welcome to visit http://frankcalberg.com Have a great day.