Objective
- Understand the difference between common business models
- Compare and contrast common business models when applied to a business
Overview
A business models is the system that transforms intangible business ideas into products/services that have value in the market place (Hedman and Kalling, 2003).
Business models define:
- How a firm works
- Who its customers are
- What the customer values
- How a firm makes money
- How value can be delivered to the customer cost effectively Magretta (2002)
Activity
1. The session starts with slides which instruct the learner on the learning outcomes of the session and the core knowledge required
- Slides 3 – Business Models Slides
- 4,5 - Classifying Business Models
2. Â Class/group Discussion on Business model Classification
- Slide 6
3. Introduction to Wyche Innovation Centre
- Slide 7
4. Play the case study video
- Slide 8
- https://www.youtube.com/watch?v=kUEut0jHSOU(Video length = 4.53mins)
5. Class/group Discussion on Business models used in Video
- Slide 9
6. Closing Summary
- Slides 10,11
7. References
- Slide 12
Session Material:
- Slides Link: https://www.dropbox.com/s/4l5mpn8hs2bvywb/Business%20Models%20%26%20Introduction%20to%20Business%20Modelling%20Slides.pptx?dl=0
- Video Link:https://www.youtube.com/watch?v=kUEut0jHSOU
- Company Profile Link: https://www.dropbox.com/s/7bivzpj4w6j9xn9/Business%20Models%20%26%20Introduction%20to%20Business%20Modelling%20-%20Wyche_Innovation_Centre%20profile.docx?dl=0
This session is designed to fit into a 45-60 minute session.
Skill Development
Key Takeaways:
- It is important to think about the different business models and their components but not be wedded to one particular one.
- A business model is about value creation, delivery, and capture.
- A business may use a number of business models.
As a facilitator, it is important that you allow them to explore various business models and find the learning within that. This can involve team work with members sharing different view point which require your support in developing.
Resources:
- Post-its or similar and pens
- Slides
- Company Case study: Wyche Innovation Centre
References:
- Hedman, J., Kalling, T. (2003) The Business Model Concept: Theoetical underpinnings and empirical illustrations, European Journal of Information Systems, 12(1), 42-59
- Magretta, J. (2002) Why Business Models Matter?, Harvard Business Review, 80(5), 86-92.
- Tidd, J., Bessant, J. (2013) Managing Innovation: Integrating Technological, Market and Organizational Change, John Wiley & Sons: Chichester.
- Bozward, D. & Rogers-Draycott, M.C. (2017) Developing a Staged Competency Based Approach to Enterprise Creation. In: 10th International Conference for Entrepreneurship, Innovation, and Regional Development, 31st August - 1st September, Thessaloniki, Greece.