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Strategy - Business Models

This site explains what you need to know about business models in a strategic context.
Examples are:
- Strategies in mature markets
- Core businesses
- Market entry strategies
- Business Models based on collaboration strategies
 

Our Literature Recommendation:

Business Models: A Strategic Management Approach 
by AFUAH, Allan Afuah

>> more Literature>>
 

Our Own Publications

Management models - What they can do and what they cannot do
by Dagmar Recklies

 

 
 
 

Directory
Breaking down walls: How an open business model is now the convergence imperative The convergence of businesses offers a new scenario in which greater value can occur across the lines of business—value greater than any single line of business might attain.   
Business Model Design and the Performance of Entrepreneurial Firms We focus on a particular organization design issue – namely, the design of an organization’s set of boundary-spanning transactions – which we refer to as business model design, and ask how business model design affects the performance of entrepreneurial firms.   
Challenges and Strategies of Matrix Organizations Top-Level and Mid-Level Managers' Perspectives: This study identified the top five contemporary challenges of the matrix organizational form. It also provides managers with the best practices that will improve their matrix organizations.  
Collective Strategy in the New Strategic Context Collective Strategy is the attempt of organizations to manage their interdependence by substituting contractual for competitive interconnectedness, creating a partially endogenous social environment.   
Designing the Leveraged Organization Is the strategic business unit a thing of the past? Companies are increasingly leaving it behind to pursue new modular opportunities for growth.
2007
 
Don't Follow the Leader A Different Path to Success. Why it is not always a good idea simply to try to catch up with the market leader.  
Embracing Open Business Models Companies that keep their intellectual property too close to the vest risk missing out on critical business innovations that idea-sharing could generate. Open business models foster collaboration with customers and suppliers to everyone's benefit. 2007  
Exploring the Fit between Business Strategy and Business Model: Implications for Firm Performance In this paper, we explore the fit between a firm’s product market strategy, and its business model. We develop a formal model in order to analyze and develop theoretical hypotheses on the contingent effects of product market strategy and business model choices on firm performance.   
Killer Strategies The top companies thrive, says our author--a leading strategy guru--by changing the rules of the game.  
Looking In From the Outside Today, the pressure is on to deliver on the demands of customers and investors—and to do it right now. As a company’s business model shifts to meet changing market requirements, its business strategy and IT infrastructure must be ready to shift as well.  
Managing for Value: How the World’s Top Diversified Companies Produce Superior Shareholder Returns In this report, BCG identifies the 10 key value levers that the leading diversified companies pull to produce superior returns.  2006  
Products vs. Services:  Which is the Better Business Model, in Software and other Industries? This article focuses on a common debate among entrepreneurs and managers, in software and other businesses: Do you want to be a services company or a products company?   
Repowering the Matrix The matrix is a useful and competitive organization, but it is hard to manage. Typically one dimension has too much power. But the answer is not to take power away from it, as if power is a zero sum game, but rather to give a different and new power to the weaker dimension. To add stakes that encourage the weaker dimension of the matrix to interact rather than retreat. 2006  
The 1.5th mover advantage There has been much discussion about the timing of moves in games. However, one assumption usually goes unquestioned, namely, that of an irrevocable commitment of the 1st mover.   
The Five Principles of Smart Customization Evolving from Customer Segmentation to Smart Customization. 2005  
The impact of product diversification strategy on the corporate performance of large Spanish firms We analyze the impact of product diversification on performance. Performance is measured using Tobin's q for a sample of 103 large, non-financial Spanish firms (1992-1995). Diversification is measured by means of a categorical variable, as suggested by Varadarajan.   
The Success Zone Aligning Your Business Model and Risk Profile  
The V-Pattern of Innovation Encouraging Traditional Industries to Reinvent Their Business Models. 2001 (click on the 'view'-button to read the paper)  
Unlocking Profitability in the Complex Company - When it pays to simplify for value Whether through acquisitions, customer and channel proliferation, or tailoring of products for powerful customers, many large companies find themselves thrashing about in a sea of complexity. Not only does the enterprise become difficult to manage, but some high-maintenance customers also become hugely unprofitable. 2004  
Warfare - The Strategy of Business Breakthroughs There’s a story behind each  business success and business failure. Here we propose a specific model explaining how large companies create and sustain market leadership, or the traps that they fall into that prevent them from doing so.   
Why Companies Should Have Open Business Models Using outside technologies to develop products and licensing internal intellectual property to external parties will carry a company only so far. The next frontier in Innovation is to open the business model itself. 2007.   
Will You Get to the Future First? Linda Yates and Peter Skarzynski explain why companies that are willing to rethink their fundamental business model will get to their industry's future first.  

 

 
Literature

Business Models: A Strategic Management Approach
by Allan Afuah
Business Models: A Strategic Management Approach draws on the latest research in strategic management to explicitly and fully explore business models. It explores which activities a firm performs, how it performs them, and when it performs them to make a profit. It offers an integrated framework for understanding the relationship between the set of activities that a firm chooses to perform, its revenue model, its cost structure, its resources and capabilities, the competitive forces in the firm's industry, and its ability to sustain a competitive advantage even in the face of change.

The Ultimate Competitive Advantage: Secrets of Continually Developing a More Profitable Business Model by Donald Mitchell, Carol Coles,
Authors Donald Mitchell and Carol Coles conducted a ten-year study of companies that had grown the fastest over a three-year period. Their research reveals that while unsuccessful companies doggedly apply outdated business models, the successful ones improve their models every two to four years. The Ultimate Competitive Advantage provides a straightforward, systematic method any company can use to review and improve its business model and each of its key components: pricing, costs of doing business, and benefits added.

In Search of the Perfect Model: The Distinctive Business Strategies of Leading Financial Planners by Mary Rowland
Financial advisers are perpetually in search of the perfect business model. This fascinating overview will awaken planners to the many unique practice structures available and will help you find one that matches their strengths, personalities, planning philosophies, and lifestyles.

Radical Innovation: How Mature Companies Can Outsmart Upstarts by Richard Leifer, Christopher M. McDermott, Gina Colarelli O'Connor, Lois S. Peters, Mark P. Rice, Robert W. Veryzer, Mark Rice

Rejuvenating the Mature Business: The Competitive Challenge by Charles Baden-Fuller, John M. Stopford

 

 

     

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Copyright © 2001 Recklies Management Project GmbH
Status: 05. April 2008