Service Logic Business Model Canvas for Lean Development of SMEs and Start-Ups

2020 ◽  
pp. 436-463
Author(s):  
Jukka Ojasalo ◽  
Katri Ojasalo
Keyword(s):  
Business Model ◽  
Business Models ◽  
Business Community ◽  
Service Development ◽  
Model Framework ◽  
Business Plans ◽  
Business Model Canvas ◽  
Start Up ◽  
Service Logic ◽  
Start Ups

Business models have made a breakthrough both in the academic and in business community in the area business development. Old fashioned business plans are in many cases considered as a waste of time and resources. Particularly start-ups and SMEs have a great potential to take advantage of business model approach which allows lean and agile product and service development. However, the existing widely used business model frameworks are lacking the new service logic orientation. They mostly see the world in terms of goods logic. Since all sizes of businesses in all industries are increasingly adopting the service logic or service-dominant logic, there was a clear need to develop a new service logic based business model framework. Based on an extensive empirical study with both practitioners and academics, a new Service Logic Business Model Canvas was developed to fill this need. This chapter explains the theoretical foundations of this framework in SME and start-up context, as well as the framework itself and its application.

Service Logic Business Model Canvas for Lean Development of SMEs and Start-Ups

2016 ◽  
pp. 217-243 ◽  
Author(s):  
Jukka Ojasalo ◽  
Katri Ojasalo
Keyword(s):  
Business Model ◽  
Business Models ◽  
Business Community ◽  
Service Development ◽  
Model Framework ◽  
Business Plans ◽  
Business Model Canvas ◽  
Start Up ◽  
Service Logic ◽  
Start Ups

Business models have made a breakthrough both in the academic and in business community in the area business development. Old fashioned business plans are in many cases considered as a waste of time and resources. Particularly start-ups and SMEs have a great potential to take advantage of business model approach which allows lean and agile product and service development. However, the existing widely used business model frameworks are lacking the new service logic orientation. They mostly see the world in terms of goods logic. Since all sizes of businesses in all industries are increasingly adopting the service logic or service-dominant logic, there was a clear need to develop a new service logic based business model framework. Based on an extensive empirical study with both practitioners and academics, a new Service Logic Business Model Canvas was developed to fill this need. This chapter explains the theoretical foundations of this framework in SME and start-up context, as well as the framework itself and its application.

SECURE – a new business model framework for measuring start-up performance

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tahseen Anwer Arshi ◽  
Venkoba Rao ◽  
Sardar Islam ◽  
Swapnil Morande
Keyword(s):  
Business Model ◽  
Emerging Economies ◽  
Performance Outcomes ◽  
Equation Modeling ◽  
Model Framework ◽  
Content Type ◽  
Start Up ◽  
New Business ◽  
Start Ups ◽  
The Impact

Purpose Existing business model frameworks show weak conceptual unification, a paucity of measurement focus and limitations when applied in emerging economies. The study proposes a new business model framework – “Start-up Evaluation Calculus Using Research Evidence” (SECURE). The purpose of this study is to allow the measurement of the impact of business model design on start-up performance in emerging economies. Design/methodology/approach Data collected from 713 entrepreneurs in select cities of India, Oman and the United Arab Emirates is analyzed through structural equation modeling. The study uses measurement and structural models to examine the validity of measures and additionally tests the five hypothesized relationships proposed in the study. Findings The SECURE’s components comprising desirability, marketability, feasibility, scalability and viability showed validity and reliability. They synergistically demonstrated a statistically significant effect on a mix of financial and non-financial start-up performance outcomes. An alternative structural relationship that examined the impact of SECURE on only financial performance outcomes showed a weaker model fit. The findings indicate that a business model framework is useful when its ex ante measures show a positive causal effect on the desired performance outcomes. Practical implications The scores obtained by the SECURE framework serve as an evaluative tool that informs entrepreneurs and start-ups on the readiness of their proposed, incubated or existing start-ups. Originality/value Replacing subjective judgments with objective assessment criteria, SECURE is one of the first quantitative and performance-driven business model frameworks that contain measures from all functional domains of a start-up business. Start-ups can evaluate their business models against the SECURE model’s research-driven quantitative criteria and assess their impact on start-up performance.

Building blocks for the development of an IoT business model

2019 ◽  
Vol 13 (1) ◽  
pp. 15-32
Author(s):  
Tatiana Domingues Almeida ◽  
Marianne Costa Avalone ◽  
Diego Castro Fettermann
Keyword(s):  
Literature Review ◽  
Business Model ◽  
Business Models ◽  
Building Blocks ◽  
Extensive Literature ◽  
Model Framework ◽  
Cluster Technique ◽  
Content Type ◽  
Business Model Canvas ◽  
Business Goals

Purpose Previous studies have identified a variety of Internet of Things (IoT) business models and have recognised the complexity related to the application of IoT technologies in business, along with the potential of the modularity concept application in organisational design. The purpose of this paper is to identify the main building blocks for the development of a business model canvas for companies that adopt the IoT in their business. Design/methodology/approach First, the authors carried a systematic literature review to identify theoretical, experimental and practical IoT business model canvas recorded in the literature. Then, the authors identified and analysed the characteristics of the building blocks present in these canvas using a statistical cluster technique. Based on the outcomes, the authors proposed a framework with standard and optional modules to allow flexible arrangements and suit different IoT business goals. Findings The results revealed that the IoT business model canvas recorded in the literature had been grossly designed to attend two drivers: manufacture and service organisations. Therefore, based on the frequency of building blocks present in IoT business model canvas recorded in the literature, it has been proposed two flexible frameworks which can be tailored to accommodate the immense variety of possibilities offered by IoT technologies in manufacture and service business. Practical implications The business model frameworks proposed in this research can support entrepreneurs structuring new IoT businesses or upgrading existing businesses. Originality/value This research offers a comprehensive IoT business model framework with their respective building blocks built from an extensive literature review.

scholarly journals Peningkatan Aktivitas Pemasaran UMKM Melalui Pengembangan Website D’real Potatoes di Jakarta

2020 ◽  
Vol 2 (1) ◽  
pp. 17-25
Author(s):  
Frangky Selamat ◽  
Bagus Mulyawan ◽  
Hetty Karunia Tunjungsari
Keyword(s):  
Community Engagement ◽  
Business Model ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
General Description ◽  
Website Development ◽  
Start Up ◽  
Marketing Activities ◽  
Medium Enterprises ◽  
Start Ups

ABSTRAK Memulai sebuah usaha startup adalah sebuah perjuangan yang penting dalam proses kewirausahaan. Startup mempunyai bisnis model yang berbeda dengan bisnis yang konvensional. Startup memiliki terobosan yang tidak dimiliki oleh bisnis konvensional sebelumnya. Model bisnis adalah gambaran umum dari proses pengembangan ide bisnis, mulai dari perencanaan sampai produk diproduksi dan dipasarkan. Menjalankan sebuah usaha mikro, kecil dan menengah (UMKM) tidak sama dengan menjalankan sebuah startup. Namun UMKM dapat dikembangkan menjadi sebuah startup bila didukung dengan pengembangan bisnis model secara optimal. Pengabdian masyarakat (Abdimas) ini dilakukan untuk membantu UMKM berkembang dengan meningkatkan aktivitas pemasarannya melalui pengembangan website. Ini adalah langkah awal untuk mengembangkan sebuah UMKM menjadi sebuah startup berbasis digital ABSTRACT Launching a start-up (starting a business) is an ideal assessment for the entrepreneurial process. A startup is a business that has a different business model compared to existing conventional businesses. There is a breakthrough in the pre-existing business model. Business model is a general description of a business creating, conveyed and discussed value, from the products produced. Establishing and running a Micro, Small and Medium Enterprises (MSMEs) is not the same as a start-up business. However, MSMEs can develop into start-ups if they are properly developed, by providing a more tangible touch in designing their business models. This community engagement activity carried out to help one of the fostered MSMEs to grow its business by increasing marketing activities through website development. The development of a website can boost marketing activities and become the first step for MSMEs to grow as digital-based startup business.

Towards a taxonomy of crowdsourced delivery business models

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Georgiana Ciobotaru ◽  
Stanislav Chankov
Keyword(s):  
Business Model ◽  
Business Models ◽  
Principal Component ◽  
Model Framework ◽  
Content Type ◽  
Holistic Understanding ◽  
Global Logistics ◽  
Delivery Services ◽  
Crowd Logistics ◽  
Start Ups

PurposeThe paper aims to develop (1) a comprehensive framework for classifying crowdshipping business models and (2) a taxonomy of currently implemented crowdshipping business models.Design/methodology/approachThe business models of 105 companies offering crowdsourced delivery services are analysed. Cluster analysis and principal component analysis are applied to develop a business model taxonomy.FindingsA detailed crowdsourced delivery business model framework with 74 features is developed. Based on it, six distinct clusters of crowdshipping business models are identified. One cluster stands out as the most appealing to customers based on social media metrics, indicating which type of crowdshipping business models is the most successful.Research limitations/implicationsDetailed investigations of each of the six clusters and of recent crowdshipping business model developments are needed in further research in order to enhance the derived taxonomy.Practical implicationsThis paper serves as a best-practices guide for both start-ups and global logistics operators for establishing or further developing their crowdsourced delivery business models.Originality/valueThis paper provides a holistic understanding of the business models applied in the crowdshipping industry and is a valuable contribution to the yet small amount of studies in the crowd logistics field.

scholarly journals Cluster Typology of Business Models of Start-Ups. (Example of Slovakia)

2020 ◽  
Vol 10 (3) ◽  
pp. 54
Author(s):  
Štefan Slávik ◽  
Richard Bednár ◽  
Ivana Mišúnová Hudáková ◽  
Katarína Moravčíková
Keyword(s):  
Business Model ◽  
Product Differentiation ◽  
Business Models ◽  
Small Range ◽  
Price Ratio ◽  
The Real ◽  
Scarce Resources ◽  
Start Up ◽  
The Common ◽  
Start Ups

Start-up is an emerging micro-enterprise that has different characteristics to a larger and mature enterprise. Its viability depends mainly on a functioning business model. The purpose of the research study is to identify the basic types of business model regardless of the specific industry, and thus to penetrate deeper into the more general cognition of start-up business making. The research sample contains 106 start-ups, the business models of which are described using fourteen criteria, which are derived from the visualization of canvas. The research sample is divided by cluster analysis (Ward’s hierarchical agglomeration method) into nine clusters, hence types of business models. For a better understanding, the clusters were aggregated into four groups with similar business models. Grouping A is characterized by the model with a small range of processes, mostly with higher product differentiation, scarce resources and satisfying the common basic and higher needs. Grouping B is characterized by the model with a large range of processes and higher product differentiation and satisfying the common basic and higher needs or newer practical needs. Start-ups in grouping C have the model with considerable differentiation aimed at satisfying the common needs. Grouping D has the model based on cultivating relationships with customers, cheap satisfying of needs and use of ordinary resources. The models differ the most in the span of operational processes, segmentation and distribution, and differ the least in the relationships between customers, the cost–price ratio and protection against imitation. The practical use of the identified clusters lies in the fact that they are a reflection of the real behaviour of start-ups, they determine the real parameters of business models, and therefore they provide the founders of start-ups with verified patterns, the outlines of which are probably not definitive.

Circular start-up development: the case of positive impact entrepreneurship in Poland

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Boleslaw Rok ◽  
Monika Kulik
Keyword(s):  
Business Model ◽  
Business Models ◽  
Positive Impact ◽  
Data Gathering ◽  
Content Type ◽  
Start Up ◽  
Multiple Case ◽  
Start Ups ◽  
The Impact

Purpose The purpose of this paper is to explore how circular start-ups design and implement innovation into their business models to increase their positive impact. Design/methodology/approach This qualitative study is based on an exploratory multiple-case study involving six circular start-ups with positive impact in Poland. Data gathering took place via in-depth interviews with start-up founders. Findings The analysis demonstrates that three factors, which are strongly interconnected, can significantly influence the development of a circular start-up. The first is the purpose-led motivation for circularity as a solution, mostly concentrated on the environmental education of different market actors. The second factor is built on the aim to increase the positive impact by addressing the most pressing social and environmental problems. It determines the impact on society as well as on the environment and the extent to which its model can be scaled up. The third factor is driven by the understanding of the purpose of the innovation, concentrated on the business model innovation regarding circularity. Practical implications This paper demonstrates the benefits for diverse stakeholders and the importance of using circular business models in start-up development. Circularity can be perceived as a main part of the new approach to improve sustainability. Originality/value Circular start-ups represent a new phenomenon in the entrepreneurial market. While the structure and logic of the circular business model in start-ups are significantly unexplored in the management literature, this model is viewed as a crucial step in the direction of increasing the positive impact of start-ups. From a theoretical and practical perspective, it is important to understand the differences and similarities in this area within different markets.

scholarly journals Capturing value from big data – a taxonomy of data-driven business models used by start-up firms

2016 ◽  
Vol 36 (10) ◽  
pp. 1382-1406 ◽  
Author(s):  
Philipp Max Hartmann ◽  
Mohamed Zaki ◽  
Niels Feldmann ◽  
Andy Neely
Keyword(s):  
Big Data ◽  
Business Model ◽  
Business Models ◽  
Clustering Algorithms ◽  
Reference Points ◽  
Data Driven ◽  
Content Type ◽  
Start Up ◽  
Different Types ◽  
Start Ups

Purpose The purpose of this paper is to derive a taxonomy of business models used by start-up firms that rely on data as a key resource for business, namely data-driven business models (DDBMs). By providing a framework to systematically analyse DDBMs, the study provides an introduction to DDBM as a field of study. Design/methodology/approach To develop the taxonomy of DDBMs, business model descriptions of 100 randomly chosen start-up firms were coded using a DDBM framework derived from literature, comprising six dimensions with 35 features. Subsequent application of clustering algorithms produced six different types of DDBM, validated by case studies from the study’s sample. Findings The taxonomy derived from the research consists of six different types of DDBM among start-ups. These types are characterised by a subset of six of nine clustering variables from the DDBM framework. Practical implications A major contribution of the paper is the designed framework, which stimulates thinking about the nature and future of DDBMs. The proposed taxonomy will help organisations to position their activities in the current DDBM landscape. Moreover, framework and taxonomy may lead to a DDBM design toolbox. Originality/value This paper develops a basis for understanding how start-ups build business models capture value from data as a key resource, adding a business perspective to the discussion of big data. By offering the scientific community a specific framework of business model features and a subsequent taxonomy, the paper provides reference points and serves as a foundation for future studies of DDBMs.

scholarly journals Changes in the start-ups business models

2020 ◽  
Vol 83 ◽  
pp. 01053
Author(s):  
Katarína Procházková
Keyword(s):  
Business Model ◽  
Business Models ◽  
Research Paper ◽  
Business Environment ◽  
Entry Modes ◽  
Global Business ◽  
Business Model Canvas ◽  
Doing Business ◽  
Last Stage ◽  
Start Ups

Research paper is summarizing results of project focus on business models and strategies of startups. The research was focused on identification of business models and strategies of startups. Research sample was creating from more than 70 startups at the beginning of the research and we finished research 3 years later with 53 startups. This research paper is partial output that analyze startups in global business environment in terms of doing business abroad and making strategic steps. The aim of paper is identify basic strategic steps and decision making of startups through selected indicators such as market presence and entry modes focusing on the last stage of research. Startups business model were also analyze and part of the output is mapping the shifts in business model Canvas of startups.

scholarly journals Literature review on business prototypes for digital platform

2020 ◽  
Vol 9 (1) ◽  
Author(s):  
Shrutika Mishra ◽  
A. R. Tripathi
Keyword(s):  
Literature Review ◽  
Business Model ◽  
Business Models ◽  
Digital Technologies ◽  
Digital Platform ◽  
New Business ◽  
Start Ups ◽  
The Way

Abstract In today’s world, many digitally enabled start-ups are budding all over the globe because of the fast enhancement in digital technologies. For the establishment of new business, it is necessary to adopt a proper business model which needs to define the way in which the company will provide values and the ways in which the customers can pay for their services. This paper aims to study the various business models being used in today’s marketplace and to provide a better understanding for these business models by having an insight on the attributes.

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