EVALUATING PROJECT ROBUSTNESS THROUGH THE LENS OF THE BUSINESS MODEL

The success of large-scale innovative projects is increasingly a function of the marriage of multiple complex technologies and the ability to articulate and capture economic benefits. For corporations, the decision to pursue particular projects often hinges on the creation of, or the ability to appropriate, requisite technologies in a manner that will allow for an adequate return on investment for project shareholders. The business model is a tool that can be used to help determine whether or not a project has the necessary components for successful completion. A business model articulates a business venture's value proposition, market segment, cost and profit structure, value chain, value network, and competitive strategy. While business models are commonly used at the corporate level, they can also be applied to projects in order to convey how the potential of multiple converging technological inputs lead to the creation of sustainable economic value outputs, often in the face of technical and market uncertainty. Empirical observations from the biopharmaceutical and aerospace industries reveal that projects with incomplete business models face considerable complications, while projects with complete business models face less difficulty with respect to execution. As such, companies can use business models as a tool for making project go/no go decisions whereby only projects with complete business models are allowed to progress through the development process.

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The future of the Internet of Things: toward heterarchical ecosystems and service business models

Journal of Business and Industrial Marketing ◽

10.1108/jbim-10-2015-0206 ◽

2018 ◽

Vol 33 (6) ◽

pp. 749-767 ◽

Cited By ~ 19

Author(s):

Seppo Leminen ◽

Mervi Rajahonka ◽

Mika Westerlund ◽

Robert Wendelin

Keyword(s):

Internet Of Things ◽

Business Model ◽

Value Chain ◽

Large Scale ◽

Business Models ◽

The Internet ◽

Content Type ◽

Industry Collaboration ◽

New Business ◽

The Internet Of Things

Purpose This study aims to understand their emergence and types of business models in the Internet of Things (IoT) ecosystems. Design/methodology/approach The paper builds upon a systematic literature review of IoT ecosystems and business models to construct a conceptual framework on IoT business models, and uses qualitative research methods to analyze seven industry cases. Findings The study identifies four types of IoT business models: value chain efficiency, industry collaboration, horizontal market and platform. Moreover, it discusses three evolutionary paths of new business model emergence: opening up the ecosystem for industry collaboration, replicating the solution in multiple services and return to closed ecosystem as technology matures. Research limitations/implications Identifying business models in rapidly evolving fields such as the IoT based on a small number of case studies may result in biased findings compared to large-scale surveys and globally distributed samples. However, it provides more thorough interpretations. Practical implications The study provides a framework for analyzing the types and emergence of IoT business models, and forwards the concept of “value design” as an ecosystem business model. Originality/value This paper identifies four archetypical IoT business models based on a novel framework that is independent of any specific industry, and argues that IoT business models follow an evolutionary path from closed to open, and reversely to closed ecosystems, and the value created in the networks of organizations and things will be shareable value rather than exchange value.

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Viable Business Models for M-Commerce

Handbook of Research on Mobility and Computing ◽

10.4018/978-1-60960-042-6.ch052 ◽

2011 ◽

pp. 837-852

Author(s):

Jiaxiang Gan ◽

Jairo A. Gutiérrez

Keyword(s):

Business Model ◽

Value Chain ◽

Competitive Strategy ◽

Business Models ◽

Market Segment ◽

Value Proposition ◽

Value Network ◽

The Public ◽

Profit Potential ◽

Viable Business

As mobile applications increase in popularity, the issue of how to build viable business models for the m-commerce industry is becoming a clear priority for both organizations and researchers. In order to address this issue, this chapter reports on five mini cases used as a guideline, and applies the theoretical business model from Chesbrough and Rosenbloom (2002) to each of them to find out the most important components of viable business models for their m-commerce applications. The study then uses cross cases analysis as a research tool to compare and contrast each of the mini cases and to find out how the different organizations fit within the researched theoretical business model. Finally, this chapter confirms that there are 7 important components of viable business models for m-commerce which are: value proposition, market segment, value chain, profit potential, value network, competitive strategy and firm capabilities. This study also highlights the fact that the public visibility of these 7 components is uneven. Some components such as value proposition, value chain, value network and firm’s capabilities are more likely to be presented in public by organizations. However, aspects such as cost structure and profit potential, market segment and competitive strategy are more likely to be hidden from the public due to their commercial sensitivity.

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Economic and Legal Bases of Using Car-Sharing Business Models in Ukraine

Mechanism of an economic regulation ◽

10.21272/mer.2020.87.06 ◽

2020 ◽

pp. 75-85

Author(s):

Oleksandr M. Matsenko ◽

Tetiana М. Malanchuk ◽

Vladyslav S. Popov ◽

Vladyslav S. Piven ◽

Evhenyi O. Skrypka

Keyword(s):

Business Model ◽

Business Models ◽

Swot Analysis ◽

Road Traffic ◽

Economic Benefits ◽

Car Sharing ◽

Bibliographic Analysis ◽

Economic Method ◽

Logical Sequence ◽

Study Results

This article summarizes the concept of sharing, bibliographic analysis of publications in the field of car-sharing based on the Scopus database. The primary purpose of the study is to study the economic and legal basis for the development of car-sharing business models in Ukraine. Systematization of literature sources and approaches devoted to the economic efficiency of the implementation of car-sharing business models has shown that in Ukraine, this issue is almost not paid attention to in the economic, scientific sphere, and legal, scientific areas. The urgency of solving this scientific problem lies in the need and ability to relieve road traffic from traffic jams, reducing the average downtime of vehicles, as well as economic benefits for entities (vehicle owners and passengers) involved in sharing business models. The research has the following logical sequence: the types of car-sharing business models were analyzed, and their comparative characteristics were carried out; the economic and legal preconditions of car-sharing business development in Ukraine are investigated. The research identifies legislative obstacles to the establishment of a car-sharing company in Ukraine. A SWOT analysis of the conditions for implementing a car-sharing business model in Ukraine was performed. It analyses the costs and efficiency of creating a business based on a car-sharing business model in Ukraine on a conditional example. We propose to use system-structural and comparative analysis to analyze the problems of modern transport, methods of formal-logical analysis for determining the directions of development of car-sharing business models, and economic method for assessing the effect and a payback period of the proposed project car-sharing business model. The study results can be useful for the development of the car-sharing business in Ukraine, for entrepreneurs, scientists, and vehicle owners. Keywords: car-sharing, car-sharing business model, car-sharing business, motor transport, hire, expenses, analysis.

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The Role of Social Enterprise Hybrid Business Models in Inclusive Value Chain Development

Sustainability ◽

10.3390/su13020499 ◽

2021 ◽

Vol 13 (2) ◽

pp. 499

Author(s):

Bob Doherty ◽

Pichawadee Kittipanya-Ngam

Keyword(s):

Business Model ◽

Value Chain ◽

Social Impact ◽

Business Models ◽

Rural Poverty ◽

Sustainable Business ◽

Middle Income ◽

Low Middle Income Countries ◽

Development Literature ◽

Hybrid Organisations

This study contributes to the growing interest in hybrid organisations, sustainable business models and inclusive value chain development (IVCD). Recent work has identified that of some 570 million farmers in the world, more than 475 million farmers are smallholders in low-middle-income countries experiencing increasing food insecurity and rural poverty. Research argues that there is a lack of research that provides work on appropriate solutions for smallholders. This paper answers this call by a qualitative study of ten case studies, which draws on hybrid organising, sustainable business model and IVCD research to identify the novel business model characteristics that hybrid organisations use to create and manage more inclusive value chains for smallholders. These hybrid organisations are designed to create a value proposition that delivers sustainability upgrading for smallholders via both product, process and governance upgrades, empowers smallholders to achieve development goals and creates multiple value for social impact. We therefore identify the important characteristics of the hybrid business model to provide appropriate solutions for smallholders and overcome the challenges identified in the inclusive value chain development literature.

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Equipment Maintenance Business Model Innovation for Sustainable Competitive Advantage in the Digitalization Context: Connotation, Types, and Measuring

Sustainability ◽

10.3390/su10113970 ◽

2018 ◽

Vol 10 (11) ◽

pp. 3970 ◽

Cited By ~ 4

Author(s):

Juhong Chen ◽

Ruijun Zhang ◽

Di Wu

Keyword(s):

Competitive Advantage ◽

Business Model ◽

Business Models ◽

Economic Benefits ◽

Business Model Innovation ◽

Equipment Maintenance ◽

Sustainable Competitive Advantage ◽

Structured Interviews ◽

Profit Center ◽

Manufacturing Enterprises

The equipment maintenance services have become a new profit center and an important way to gain sustainable competitive advantage for manufacturing enterprises. The business model is an important tool for manufacturing enterprises to derive economic benefits from sustainable competitive advantage in the context of digitalization technologies, such as IoT, big data, and cloud computing. At present, the concept of equipment maintenance business model innovation is still vague, and it is rare to report on the innovation behaviors and types of equipment maintenance business models adopted by manufacturing enterprises. Based on literature analysis of equipment maintenance services and business model innovation, following business model gestalt theory, the concept of equipment maintenance business model innovation is analyzed at the business-level, the types are divided into novel and efficient following value sources—“innovation and efficiency”. The initial scale is developed through literature investigation, semi-structured interviews and expert reviews, and tested by exploratory and confirmatory factor analysis by using the data of two independent large-sample questionnaires. The results indicate that the behavior and types of equipment maintenance business model innovation can be described by two types and 19 items.

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The Ontology of the OSS Business Model

Open Source Software Dynamics, Processes, and Applications ◽

10.4018/978-1-4666-2937-0.ch003 ◽

2013 ◽

pp. 40-58

Author(s):

Spyridoula Lakka ◽

Teta Stamati ◽

Christos Michalakelis ◽

Dracoulis Martakos

Keyword(s):

Conceptual Framework ◽

Business Model ◽

Value Chain ◽

Exploratory Study ◽

Business Models ◽

Methodological Approach ◽

Theory Building ◽

Revenue Model ◽

Software Business

This study focuses on theory building providing a holistic conceptual framework that consists of an ontology based OSS business model and an OSS business model taxonomy. The study extends existing theory in OSS business models and corresponding taxonomies, based on the structured-case methodological approach. An exploratory study is conducted in two research cycles, for the identification, validation, and evaluation of the critical constructs of an OSS business model. Results reveal that OSS business models differ from traditional software business models, having specific features that affect the software value chain, the infrastructure, and the revenue model of an OSS oriented firm.

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Cultural Tourism O2O Business Model Innovation

Disruptive Technology ◽

10.4018/978-1-5225-9273-0.ch019 ◽

2020 ◽

pp. 406-423

Author(s):

Chao Lu ◽

Sijing Liu

Keyword(s):

Business Model ◽

Value Chain ◽

Business Models ◽

Business Model Innovation ◽

Utilization Efficiency ◽

The Internet ◽

Enterprise Value ◽

Model Research ◽

The Social ◽

Tourism Enterprises

It is absolutely not an accidental phenomenon that the development of Internet overlaps with boom of business model research. The emergence of the Internet has greatly promoted the development and study of business models. This paper focuses on exploration of O2O business model innovation by analyzing the main types, evolution and driving factors of Chinese Internet business model, taking Ctrip as the example. From the social prospective, O2O business model improves value and feeling of the customer experience as well as the operational efficiency of the enterprise value chain and utilization efficiency of social resources. This paper has also put forward what Ctrip can enlighten the development of tourism enterprises.

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Kyoto Cuisine Gone Global

Gastronomica The Journal of Food and Culture ◽

10.1525/gfc.2017.17.3.36 ◽

2017 ◽

Vol 17 (3) ◽

pp. 36-48 ◽

Cited By ~ 2

Author(s):

Greg de St. Maurice

Keyword(s):

Large Scale ◽

Local Food ◽

Participant Observation ◽

Global Scale ◽

Food Culture ◽

Local Difference ◽

The Face ◽

The Creation ◽

Culinary Knowledge ◽

Food Economy

In the face of globalization, chefs in Kyoto, Japan have worked to protect local food culture and revive the local food economy. Their actions do not constitute “resistance,” nor are they simply signs of the persistence of local difference in the context of large-scale changes. Drawing primarily on interviews I conducted with prominent chefs of “traditional” Kyoto cuisine and participant observation at events related to Kyoto cuisine, this article examines chefs’ approaches to outside influence and promotion efforts abroad. I pay specific attention to the incorporation of new foreign ingredients into Kyoto cuisine and new efforts to share culinary knowledge with foreign chefs, namely the establishment of a work visa system and the creation of a cookbook series targeted at professional chefs abroad. Kyoto's chefs, this article demonstrates, have been strategically engaging with globalization, actively refashioning the local to try to control it at a global scale.

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Applying a Sustainable Business Model Lens to Mutual Value Creation With Base of the Pyramid Suppliers

Business & Society ◽

10.1177/0007650320973450 ◽

2020 ◽

pp. 000765032097345

Author(s):

Krzysztof Dembek ◽

Jodi York

Keyword(s):

Business Model ◽

Value Chain ◽

Business Models ◽

Single Case ◽

Base Of The Pyramid ◽

Sustainable Business ◽

Value Capture ◽

Promising Alternative ◽

Sustainable Business Models ◽

Multi Stakeholder

Base of the pyramid (BoP) ventures seek to create “mutual value” for themselves and poor communities, but often use business models unadapted for the BoP context, and have been less successful than hoped. Sustainable business models’ (SBMs) multi-stakeholder lens offers a promising alternative path to mutual value, but BoP-based SBM studies are scarce. This single case study explores whether and how SBM characteristics manifest in the business model and value outcomes of Habi, a Manila footwear company successfully creating mutual value with BoP suppliers. We find SBM characteristics underpin Habi’s dual-structure business model (value chain/shop) and success in four ways: viewing profits as a tool for community development resulted in designing both product and business model around community strengths; understanding communities as systems helped Habi address the complexities of poverty; balancing short-term business needs with a long-term, slow-growth approach led to their choice of investors; and implementing community value capture mechanisms ensured enduring community benefit.

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