StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Business Model Generation - Literature review Example

Comments (0) Cite this document
Summary
This paper focuses on the business model generation, its coherence, integration, feasibility. It also presents the resistance of the business model to environmental changes in its sustainability and appraisal. From an objective point of view, the business model presented is quite detailed…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER91.7% of users find it useful
Business Model Generation
Read TextPreview

Extract of sample "Business Model Generation"

Download file to see previous pages Elements unique to a business model add to the complexity of how the framework should be examined in the context of its feasibility. The most important criterion, however, is economic viability. This should be made a crucial precondition, because, without it, there is no reason for existence, as the project being undertaken cannot be supported by the market. The project, as defined by the business model, should be profitable. What this means is that rewards must either equal or surpass the expectations of diversified investors on a risk-adjusted basis from investments made and resources consumed. (Johnson, 2007: 42). Currently, the business model lacks value-added development and thus misses out on the profits available.
Another important aspect in a business model is the way it creates value or shared value among business partners. According to Vermeulen and Cotula (2010: 35), there are four criteria that should be used to determine how a business model shares value. All of these variables are related to each other. One may be linked or is responsible for the existence of another. Nonetheless, these elements collectively bring about the value and, hence, must be present in a business model. Taking this into consideration, it appears that the business model at hand is deficient in several aspects. For example, how will key partners contribute in the decision- making the process, or how will they share the burden of risks and rewards? It is easy to explain joint ventures in figures, but to effectively and clearly represent them, equity is critical. This may appear to be a problem related to issues about coherence and integration. Nonetheless, it represents an inadequacy that must be addressed.
The trends in the current business climate are individualization and market segmentation. The services and products that are offered are highly tailored according to the demands and circumstances of clients. The business model is silent in this area and may appear to be rigid in character. To demonstrate this, the case of the Chameleon Model (see Fig. 1) will be cited. This framework was developed by Jansen, Steenbakkers, and Jaegers (2007: 46), and is likened to that of a chameleon, which is known for its ability to adapt to its environment. According to these authors, organizations, especially those in the hospitality industry, as evidenced by the initiatives undertaken by the Hilton Hotel chain, cannot change at its core and should adapt its appearance in response to customer demands. This business model was not able to provide a dimension to the framework that demonstrates a capability for flexibility and efficiency in combating opportunities and risks; it provides the core services to be offered, but unfortunately did not include the components that will represent mechanisms of flexibility. This will define the hotel’s capability to navigate changes, risks, and opportunities. As an example, there is no reference to the integration of e-commerce or penetration of the Internet. Projections show that online travelers will become an important tool for the hospitality market, and the business model did not identify a concrete plan to employ and take advantage of this channel. The model did not include what Holloway (2008: 25) called “the systems that will enable the organization to configure resources internally and externally to adapt to a highly fluid market.” ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Strategic Decision Making Underwater Hotel Essay”, n.d.)
Strategic Decision Making Underwater Hotel Essay. Retrieved from https://studentshare.org/business/1446700-strategic-decision-making-underwater-hotel-proof
(Strategic Decision Making Underwater Hotel Essay)
Strategic Decision Making Underwater Hotel Essay. https://studentshare.org/business/1446700-strategic-decision-making-underwater-hotel-proof.
“Strategic Decision Making Underwater Hotel Essay”, n.d. https://studentshare.org/business/1446700-strategic-decision-making-underwater-hotel-proof.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Business Model Generation

Internal and External Environmental Analysis for the Bakery Business

Liberalization of foreign investment and technology policy of the government is supportive of establishing industrial units in the country.

Threat: The UK food regulatory authority is planning to enforce the EC Regulations relating to food labeling. The labeling requirements under the new regulations will affect the food industry as the suppliers will be legally obliged to disclose the GM content of foods to the caterers. Thus business firms in the bakery industry also will be effected through the exclusion of flexible manner of labeling arrangements in the case of flour confectionery involving GM Soya or maize. (Genetically modified and novel foods (labeling) (England) regulations, 2000).

Trend: The new subs...
6 Pages(1500 words)Case Study

Evandale's Business Plan

Evandale’s mission would have a strong impact on the company’s later brand development.
When a company determines its mission and its vision, it needed to determine its objectives to accomplish that vision. I did not see the objectives—where the company was heading through in the presentation. A clear objective would have enabled me, as an audience to also picture where the company would want to go and would serve as the benchmark for me to assess the later strategic choices the company would state in the presentation.
According to the slides, the potential demand for caviar and the sturgeon products are “100x” bigger than the current supply. I would have wanted to see a reliable source for...
7 Pages(1750 words)Case Study

The Management, Leadership and Teamwork Competencies Required by a Small Business Owner

On the other hand organizational leadership is defined as the ability based on the specific skill of an individual to lead his/her subordinates in a manner that pre-planned organizational goals could be achieved within the defined time-frame.

According to Burns (1978) and Bass (1985), transformational leadership has a set of category constructs such as values, morals, farsightedness, long term goals, principles, acute awareness about the dividing line between causes and symptoms, mission statements, strategic perspectives, and human resources. Similarly, they identify a set of category constructs in the transactional leadership also. For instance concentration on the task at hand, short term goals and tactics, confusion co...
6 Pages(1500 words)Coursework

Business Etquette for Business Communications Course

Who wants to give a guess? How about you (pointing at someone in the audience), yes, what is your name? Adam? What do you think, Adam – Money, Machines, Management, and Manpower? Why do you think so? And how about you, ma’am (someone else in the audience) – do you agree with him?

I think we are all in agreement: you could have Money, Machines and Management, but without Manpower, you cannot have a business. And unless you have good Manpower working well together, you cannot have a successful business.

Do people work well together naturally? Those of you who are familiar with office politics will say, “Of course not!” You are right: left to themselves, few people work well toget...
7 Pages(1750 words)Speech or Presentation

Which of the Business Objectives Might Best Be Applied to the Southampton Solent University

In other words, there is no explicit reference to the achievement of long term objectives and the people being involved in the business with the express intention of making profits.

In this context, the Southampton Solent University’s existence as a business organization in the strategic business sense would be defined as a clear attempt at continuously engaging in the present and future activities with a view to achieving its long term objectives of which the satisfaction of stakeholders, particularly shareholders, is of paramount importance. Its mission statement is “The pursuit of inclusive and flexible forms of Higher Education which meet the needs of employers and prepare students to succeed in a fast-...
8 Pages(2000 words)Coursework

Business Plan Real Estate Agency

re representing our company as their business consultants and our responsibilities are limited to the knowledge of the client’s business and information provided by the client.
The company Of-Fit has been operating as office supplies and equipment supplier since 1998. Their corporate office is in Aberdeen and it has excellent industry relations. The company is a sole proprietorship and its owner is Mr. Andrew Schwatz who has been working in the industry for more than 20 years. The company current staff is 8 and its revenues are £115,690 and £156,178 in 2008. The company aims to expand its operations in other business areas and regions of the UK.
The detailed business plan developed for this report incor...
12 Pages(3000 words)Business Plan

Capital Asset Pricing Model and Recent Developments

It is the most essential aspect of any venture. The important considerations that finance has within it, is that of profit and loss. The business as a whole or a person as an individual always strives to earn a profit. To earn a profit, one has to undertake uncertainties that are known as risks. Therefore, profit is also known as the reward for incurring risks.
In the present world of today, the capital market has come up as a viable investment opportunity for individuals all across the globe. People invest their hard money only with the expectation to earn profit or return. The stocks of various companies that are traded in the capital market are also known as capital assets. Prior to investing in any of the stock or capital...
7 Pages(1750 words)Assignment

Business Sustainability and Society: Coca-Cola Company

...Running Head: Business Sustainability & Society Business Sustainability & Society [Institute’s Business Sustainability & Society Introduction Since centuries, ethics has been a crucial and significant component of the human societies that contributed enormously in the creation of norms and values through religious influences, as well as through contribution of intellectuals and philosophers in the society. Unfortunately, nowadays, it is an observation that individuals, organizations, and even nations have commenced to overlook the phenomenon of ethics in their practices, specifically in the business sector that has become the major stakeholder confronting criticisms related to ethical practices. Critics (Crane, pp. 23-29, 2007) argue...
10 Pages(2500 words)Case Study

International Business: World Economic Forum and Davos 2010

...Introduction Globalization, one of the most hotly debated issues means global capitalism to some while others consider it to be the continuation of modernism with the forces of wealth, progress, democracy and happiness at play (Kellner, 2002). Globalization is considered to be beneficial which promotes economic prosperity, cultural diversity and technological advancement. According to the critical social theory, technology and capital work together to create a new globalized and interconnected world. While each force of globalization is important, technological revolution has impacted the business models, value creation and differentiation (Spelman, 2010). The cloud computing technologies that have made the popular social networking...
7 Pages(1750 words)Coursework

Global Employee Information and Consultation: Replicating the European Model

... or resolve conflicts usually associated with management decisions. The EWC could serve as a world-wide model in creating a Global Works Council. In fact, the idea is basically congruent to this European model. The positive aspect of this model includes its design to provide not only to keep employees well aware of the management decisions but also to enhance employee involvement over transnational or global issues that affects their employment. Thus, legislating a general framework of consultation and information would provide a uniform, comprehensive and effective guideline for the most basic right of the employees—the right to be informed and consulted. A Global Works Council will be a mechanism of comprehensive information disclosure...
9 Pages(2250 words)Coursework
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Literature review on topic Business Model Generation for FREE!

Contact Us