Business model design and business model innovation examine the various options of how to make a new or existing business (more) valuable and viable. For this assignment we distinguish Business Model Creation and Business Model Innovation.
The starting point for Business Model Creation is usually a business idea, an invention, technological advancement, and the discovery of a market niche or any other knowledge that may promise successful commercialization. Creating a new business model means experimenting with the combination of various factors that jointly do not yet exist in a given market context and together present a unique way of gaining competitive advantage.
The starting point for Business Model Innovation is usually an existing business that for some reason has become or is in danger of becoming less viable. This could be the case because competing products and services have taken away market share or due to increased global competition, changing access to key resources etc. that lead to lower margins. The reasons for why an existing business model weakens are numerous. In any case, such situation means that strategists are asked to re-position the business or re-think how value can best be created and delivered.
The strategic management and innovation methods, tools and techniques being used for either situation are largely the same. This assignment requires you to individually create a new business model. Having gained a sound understanding of the various elements of a Business Model you will now chose a market context and start exploring the options for improved or new business models.
The four key tools and techniques used in this assignment are the Business Model Canvas (BMC), the Value Proposition Canvas (VPC), the Blue Ocean strategy and Test Cards as well as some other related Strategic Management techniques.
You are going to engage directly with existing and potential customers, talk to existing and potential suppliers, or other stakeholders for the purpose of gathering important information, evidence and support for the creation of value propositions and related business model options.
Your task is to imagine, explore, test, verify and articulate the elements of a BMC and VPC and to ensure their fit. You might apply a business model pattern or a combination of patterns. Importantly, blue ocean strategy and tool should be employed to justify the viability of your idea. Additionally, test cards should be employed to prove that the idea is workable
How to Start:
Start by choosing a market or industry context in which you like to create or innovate a business model.
do the following::
• Take an idea for a business that you already have and create a business model for it. I would like to export solar panels to a developing country