2. Business Strategy
Who are the targeted customers?
What are the products and service offerings?
What is the unique and valuable proposition
targeted by the firm?
What choices and trade-off has the firm made?
3. Organizational form or structure?
What are the arrangement of organizational subunits and
the accompanying hierarchy of the autority?
What are the reporting relationship for each manager, the
“shape” of the organization, and the division of labor
across the organization, the network of organizations, or
the team of e-lancers?
How do managers balance this collection of rights,
privileges, obligations, and responsibilities through
incentives, conflict, and conflict resolution?
4. Business process
What is the key set of activities designed to produce a
specified output for a particular customer or market?
How do these activities cut across task, roles, people,
departments, and functions to provide with a product or
How do managers design, operate, improve, and evaluate
the performance of these processes?
What intellectual property or competitive advantage is
embedded in the firm’s process?
5. Value Chain
How does the firm add value to its inputs?
How do the firm’s value-adding activities fit with
those of the other players in the industry?
What information is necessary to manage the
boundaries between the firm and other value
How does the value chain fit with competitive
6. Core competencies
Relatively few sources of intellectual and service
strength that are distinctive and create long-term
Collective learnings of firms, about how integrate
multiple streams of skills, technologies, and
processes to adapt to quickly changing
7. Two forms of convergence
Convergence of technical platform
▪ Internet, Existing IT
▪ global telephone system, Infraestructure in:
▪ The communication standard TCP/IP,
▪ The addressing system of URLs
▪ Personal computers, •Governments
▪ Mobile phones •Education institutions
▪ Cable TV systems •Homes
▪ Databases of product and customer
▪ Multimedia sound and graphics Development of an
▪ Universal use of browsers Interface user-friendly
8. Analyzing the impact of a change before its
implementation reduce the risk of failure.
Business models help to capture the essence
of an e-business initiative: Strategy, form,
processes, value chain and core
9. “A description of the roles and relationships
firm’s consumers, customers, allies, and
that identifies the major flows of product,
information and money,
and the major benefits to participants”
10. 1. Participants
1. Firms of interest
2. Customers and suppliers
1. Primary relationships: where the participant knows
more about the customer than any other participant
2. Product or service, digital or physical