Sunday, July 29, 2007

Business model fundamentals

In discussing and thinking about business models, I often find it hard to compare different business models. One thing that is needed is, of course, having a definition of what a business model is and of what a business model consists of (the concepts). As example, I often use for this the work done at the Telematica Instituut upon the STOF business blueprint method and model.

However, even when having clarity about the definition and concepts, there are still a lot of different kind of business models that are sometimes hard to compare. This makes me wonder what are the fundamental differences between these business models? What I, for now, can think of and have read in the work of other, are:

  • Bundled or unbundled
  • Push or pull
  • Exploitation or exploration
  • long-term or short-term
  • Open or closed
  • Time (dynamics)

I have summarized it in the following picture. I plan to elaborate upon it later.


Erwin Fielt said...

See Osterwalder on different types of business model innovations: Design spaces for business model innovation.

Erwin Fielt said...

Maybe convergence or divergence should also be considered? See John Hagel on this here.