Successful business models
Particularly on the web, we see a lot of copies of successful business models. How many clones are there of Groupon? How many competitors and incumbents wanted to copy Amazon in the late 1990s and failed? The core question is: Is it possible to copy a business model? In this post, I will elaborate on this topic.
During a recent interview for a bachelor thesis, I was asked: Under which circumstances is the transfer of a business model e.g. from a different country or from a competitor a useful strategy?
I must admit, I am skeptical about the outright transfer of business models from one firm to another. The reason is very simple. A business model is more than its technical components like your value chain, revenue model, your product etc. The business model also includes soft factors like the value proposition, your values and corporate culture or your core competencies. Remember the definition of core competency: core competencies have to be rare, difficult to copy and valuable.
Many strategists, VCs and purely analytical people think that it is easy to copy a business model. What they forget is that a business model is not just a technocratic combination of components, in fact, humans are involved with their values, cultures and hidden assumptions. You can copy the hard components, but the human aspect of a business model –values, culture, tacit knowledge – is difficult to copy.
Business Model transfer from Start-ups to Start-ups
The case is different for startups where the human aspect is not as developed as in more mature firms. To copy a business model that is not based on technology is easy. To copy a business model of a startup, whose uniqueness is based on proprietary technology is difficult.
Case: Business Model Innovation Groupon and its clones
An interesting case is Groupon and all its clones. Groupon is a deal-of-the-day website which allows consumers to shop for certain services or products for a large discount when a sufficient number of users sign up for the deal within a short window of time. The value proposition for the user is simple: Get great deals for a hefty discount.
The value proposition for the businesses that offer the deals is less obvious. Why would businesses give discounts of over 50%? Well, Groupon offers local small businesses a fresh way to generate leads for their business. Traditionally, this task “lead-generation” was offered by the Yellow Pages, classifieds or more recently, by Google Adwords. Now, there is a new way to achieve this task: a typical business model innovation.
Successful Business Models (Entrepreneur Mentor Series)
Book (Entrepreneur Press)
A home base bizz can be a great way to have the income and the time you want. i suggest you look at what is out there and find one that compliments your likes and personality. i work with a system that combines two successful business models, franchising and marketing through a network. if you would like to learn more, let me know.
Sorry to hear that
Sorry to hear you had such a bad experience, but mlm's are not all like that. i don't approach people on product or attack friends/family...
the truth of it is is that franchising and marketing through a network have been the two most successful business models in the past 50+years....the industry, in the past may have lacked a professional presence, and some people involved in mlm perhaps still do...but the industry has grown up. lots of people want to have more time to spend with their families and/or a secondary source of income....unfortunately there is no job security anymore, most people are in debt
Have opportunity for him
I work with a business model that has aspects of franchising and marketing through a network...the two most successful business models in the past 50 years. if you are thinking about franchising, i encourage you to check this out. the start up cost is way way less and the ROI is fantastic. contact me at firstname.lastname@example.org
My gut reaction is that you'll fail. You really need to put a lot of thought into it before you start. Have you ever seen anyone else do it successfully? Not that an original idea is a bad thing but usually successful business models are new twists on old successes. What kind of a market do you have? Are there enough people who would rent your space to justify the investment? If so try to sell some space before you start. Make some very conservative assumptions and run some spreadsheets to see if it works. Look at worst case scenarios. Sorry, but most people fail. Been there, done that. Can you survive if you do? If not then make another plan
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Seafood park proposed to meet demands — FIS
Further project objectives are to stress successful business models, address supply chain and infrastructure related issues, increase income levels of fishermen by linking them with demand side of the food chain and provide a platform for industry ..
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Every morning in the African bush there wakes a gazelle, looks at the morning sun and thinks, “How am I going to outrun the fastest lion?” That same morning rises a lion, looks at the same sun and thinks, ” Will I be able to outrun the slowest gazelle?”.
More than €500m needed to repair water system — The Nationalist
.. and paying it back," said Gerry Grant, Head of Asset Management at Irish Water. "That is the model that both ESB and Bord Gáis use to invest in their infrastructure.
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An agency spokesman did not immediately respond to a request for comment. Ridership has doubled on the Waterbury line, according to Gildea and Anders. “Successful business models invest in their product first, realizing customers will follow,” Gildea said.