The business ecosystem Today witness countless innovative business models. Entirely new industries are forming as old ones crumble. Upstarts are challenging the old guard, some of whom are struggling feverishly to reinvent themselves.
How do you imagine your organization’s business model might look two, five, or ten years from now? Will you be among the dominant players? Will you face competitors brandishing formidable new business models?
A business model describes a value proposition for customers and other participants; an arrangement of activities that produces this value, and associated revenue and cost structures.
When entrepreneurs in new start-ups have entered old industries with new business models in recent years they have frequently changed industry dynamics and competition in radical ways.
The new models often involve more complex interrelationships than traditional models and create value for participants besides the customer and generate profits for more parties than the seller.
For example, Uber and Bolt in the taxi industry, Spotify in the music and movie industry, Airbnb in the tourism sector have conquered the world with their new models.
This shows that both entrepreneurs and managers, whose organizations may be threatened by new startups, need to understand business models.
Business models are particularly useful when explaining more complex business interrelationships that generate value and profits for more parties than just a buyer and seller.
Consequently, the business model concept is commonly discussed in relation to today’s strategy.
The failure of many MSMEs mostly is as a result of wrong business models or duplication of existing business models which are not clearly understood leading to ill implementation.
Subsequently, our e-book is design to give insight on MSMEs Business Models and Business Strategy to assist MSMEs position their business for sustainable growth and development. Get the E-Book by Clicking on the link below.