E-business and value chain - Book Report/Review Example

The biggest innovation is the AdWords based revenue generation model which is giving much profits to the company. The second case is shiply.com which is the online transport service in which the company has innovated by the value propositions it is offering to the customer and the partnerships it has made with transport companies. It is mainly working in UK where the company is delivering the services by collaboration with a lot of transport service providers. It has innovated product but it cannot be said as having an innovative business model, due to the fact that it is replica of already existing model.

Third case is of woot.com which is the online retailer and offering its customers with a single product on each day which is its famous deal. The other important feature is its funny and mockery terms used for each product and the customers and woot itself. Though it has brought many innovation to compete with the competitors but still it cannot be said as having truly innovative business model. Every business has to define and describe the “business model”. Business Model gives answers to some important questions regarding the operations and strategy, such as “what”, “when”, “who”, “why” “where”, “how” and “how much” (Mitchell & Coles, 2004).

The business model is defined in business dictionary as, def. “The essence of a business model is in defining the manner by which the enterprise delivers value to customers, entices customers to pay for value, and converts those payments to profit.” (Pavie, et al., 2013). Business models are very helpful in building strategies for bringing innovation for competing in such competitive and dynamic environment. For this purpose, nowadays companies are focusing on innovating their business models (Amit & Zott, 2010).

Especially, there are many e-businesses which have achieved great successes by