ITM 700 Chapter Notes - Chapter 1: Business Network, Organizational Architecture, Swot Analysis
20 Nov 2012
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Chapter 1 understanding business models: define business model. Defines how an org interacts with its environment to define a unique strategy, attract the resources and build the capabilities required to execute the strategy and create value for the stakeholders. Series of choices that determine the opportunities you pursue and the market potential of those opportunities. What is the dupoint formula and discuss the value audit model. Dupont formula : measures 3 different ratios roe = profit margin x asset efficiency x. Leverage: profit margin = net income/ revenue, asset efficiency = revenue / assets, leverage = assets/ shareholder"s equity. Identify internal and external shareholders asses their interests and expectations. Identify business model drivers and alignment swot analysis: develop the financial model and determine financing needs, what are the four key approaches to evolving a business model. Enhance incremental improvements to existing strategy or capability. Expand launch new product categories, enter new markets, or expand capabilities.
