Business model for Westinghouse - Essay Example

Business Models for Westinghouse As part of the large business strategy, Westinghouse has in place a number of business models that helps in the creation of value for the company. Value creation is something that Westinghouse has no other choice to than to ensure its creation and existence. For the case of Westinghouse, there are a number of areas of value creation, most of which are in the form of economic and social value creation (Westinghouse, 2012). As a company, Westinghouse, has for adapted itself with the re-inventor business mode, which ensures that the company offers very smart offers on existing inventions; mainly electronics to capture modern market and also ensure the creation of new market (Price, 2009).

Capturing Existing Market with the Business Model Fundamentally, Westinghouse is able to capitalize on existing electrical and electronics to capture the current market because of the adherence to advancement in products offered. What this means is that when the company targets a particular product that has been existent for a while the company does not just package the product to the current market in its original version but then the company makes frantic effort to build on the specification and introduces new functionalities to the product.

This always ensures that there is competition with other competitors even if the line of production is headed for the same line of product. One reason that has accounted for the success Westinghouse in this regard is the fact that with modern technology, there continues to be the search for electronic and electrical products that easily integrates the ideologies of basic technology. For instance a buyer of a CD player would want to see that the device would not function in the same old way whereby a CD is fed to it and it starts playing but that it would have access to a USB port and the ability to create a playlist.

These are major demands of the market that the company has taken advantage of to reinvent most existing products. Creating Existing Market with the Business Model Quite apart from the impact that Westinghouse is capable of making with re-invention by capturing the current market, the company has also for a very long time positioned itself in a posture where it is able to generate new market even with its re-interventions ideally, most of these new markets are targeted at developing and underdeveloped countries where these inventions, which are supposed to be old fashioned products to developed countries without re-adaptation are still pretty new to them.

In such a situation however, the company strategically, choices a marketing strategy that makes it possible for them to sell at highly reduced and minimal cost. This has always been the competitive edge that the company has ad over key competitors when it comes to doing business in under developed countries with re-inventions that are wholly re-adapted with new specifications and functionalities. It should be noted that because the company does not spend so much in upgrading the re-invented products in the new markets, it does not incur so much cost in production.

This was the reduction sale that takes place does not affect the company in any negative way (Goldman, 2009). In conclusion, it would be said that Westinghouse has really placed itself well in contemporary market with the re-invention business model and it is adequately making use of various strategic plans to ensure this business model becomes an absolute success. The re-invention business model therefore continues to be the best business model for Westinghouse. REFERENCE LIST Goldman, E., Cahill, T.

, & Filho, R. (2009). Experiences that develop the ability to think strategically. Journal of Healthcare Management, 54(6), 403–417. [Jones e-global library: Academic Search Premier] Price, R. (2009). Following strategies less traveled. Industrial Engineer, 41(3), 36-29. Jones e-global library: Academic Search Premier Westinghouse (2012). Executive Biographies: Anthony D. Greco. Accessed June 10, 2012 from http://www.westinghousenuclear.com/our_company/executive_biographies/anthony_greco_bio.shtm