Scribd Logo
Upload

Welcome to Scribd!

  • 10 views

    Business Model

    Uploaded by

    Aliza Urtal

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd

    Business Model

    Uploaded by

    Aliza Urtal
    10 views16 pages

    Copyright

    © © All Rights Reserved

    Available Formats

    PPTX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    10 views16 pages

    Business Model

    Uploaded by

    Aliza Urtal

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 16

    BUSINESS

    MODEL
    Learning Competencies

    The learners are able to develop the business


    model.
    Topic Outline
    1 2
    Business Model
    Business Model
    Traffic Lights
    Definition Green Lights and Red Lights

    3 4
    Parts of a Busines
    Model Sample Business Model
    Offering Model and Operating
    Model
    1
    Definition of the Business
    Model
    Business Model
    A description of the means and methods a firm
    employs to generate sales revenue, profit, and cash
    flow, while providing a template for the business to
    scale up.
    It is also a design for the successful operation of a
    business, identifying revenue sources, customer base,
    products, and details of financing.
    2
    Dynamics of Traffic Lights in
    the Business Model
    The Green Lights

    Offer products or Offer products or


    Target high-value
    services with great services with
    customers
    value reasonable profits

    Someone who is easy to find


    The entrepreneur must position the Increasing mark-up
    unique attribute of his or her products
    Someone who is willing to pay a price
    that will reasonably profit the
    entrepreneur
    The entrepreneur should offer products
    Someone who is easy to persuade with or services with great value coupled Decreasing operational cost
    the least promotional effort with attractive and reasonable prices

    Someone who can join the bandwagon


    of customers
    The Red Lights
    Satisfying the Return on
    Being a market
    customer becomes Investment (ROI)
    leader is difficult to
    too costly and takes too long and
    sustain
    irrational. too small

    The entrepreneur must calculate the cost


    and profit associated with serving the One of the characteristics of an ideal
    customer before pursuing the business business model is capitalizing on the The entrepreneur did not venture in a
    business stature as a market leader business enterprise because they want to
    through improving the features and earn profits for the purpose of
    benefits of its existing products and sustainability
    Extended Warranty
    services

    After-sales cost
    3

    Parts of a Business Model


    Offering Model

    Target Market The intended recipients of a firm’s products or services.

    The relevant and unique benefit that the consumer gets from buying
    Value Proposition or owning the firm’s products or services.

    Channel The distribution system where products or services will be available


    to the customers.
    The relationship as well as the solution that will be established with
    Customer Bonding Strategy
    buyers and end users.

    The compensation a firm get for providing its value proposition to


    Revenue Model
    support its intended profit.
    Operating Model

    The strategic linkage of extended supply chain for the firm to provide
    Value Network specific products or services to the customers.

    Resources are the hard and soft assets deployed by the firm to carry out its value proposition
    Resources and Process for the customers. Processes are the critical repetitive activities that are routinized by the
    company to deliver the value to the customers and to the company in a sustainable way.

    Complementors People or groups who will help both directly, to enhance the value
    proposition.

    Rearrangement of resources, processes, activities and offerings that help


    Configuration
    enhance the profit goal of the company.

    The monetary consequences of the means to carry out the


    Cost
    value proposition.
    4

    Sample Business Model

    You might also like