BU121 Lecture Notes - Lecture 1: Models 1, Cheque, American Express
Document Summary
Why companies with essentially the same product (good or service) might have different business models. How a company"s business model affects how it operates. Why it is important to understand your business model. The different building blocks that make up a business model. The critical building blocks that must be understood first before you can build out the rest of the model. A business model describes the rationale of how an organization of how an organization creates, delivers, and captures value. -- Delivers by creating and capturing within a value network - How a company intends to make money / the logic by which it sustains itself financially. Reflects the strategic decisions and trade-offs that entrepreneurs make to earn a profit. How your idea actually becomes a business. A product is the centre of a business model, but it is not a business in and of itself -- it can"t succeed without a great business model.
