Business Analysis Business Model That Describes the Core Business Activities

Question:-

define business model that describes the core business activities, goals, and ways to achieve the goal

Answer:-  

The article “Technology strategy and management: Business models for strategy and innovation” is written by Sako that focuses on explaining the importance of the business model. The research problem of this paper is to explore the importance and value of the business model to improve commercial value through innovation. The paper highlights that the business model is one of the key components that help the business to ensure innovation within the organization. It has been found that the importance of the business model is increasing as the business environment is becoming more complex. The business model allows the business to explore innovation and creativity in order to develop solutions to the underlying business problems. The business model helps the organization to gain competitive advantages and outstand in the market. With the advancement in technology and the introduction of digital technology, the value of the business model has further increased. It can covert new technologies into commercial values. Hence, every organization focuses on developing a unique business model so that it can help the organization to align ideas and technologies to improve commercial outcomes. The business model is seen as a tool that creates values for the business and hence it is the center of business strategies. Every organization is focusing on aligning its business strategies and business model for better outcomes. The paper also highlights that the business model could also be a subject of innovation in itself because it can pursue a novel form of value creation along with a capturing mechanism.

The researcher in this paper has used qualitative research design and secondary data to provide a detailed insight into the concerned topic. The strength of the paper is that it provides a detailed and in-depth analysis of the importance of the business model, but it lacks in providing practical implication of the business model for different businesses. The additional question that the researcher has raised in this paper is "what are the key factors that are responsible for disruption in the business model".

The article “What is strategy” written by Porter focuses on explaining one of the most important concepts called ‘strategy’. The research problem of this paper is to give a clear picture of the concept 'strategy' in order to make the organization understand it and focus on developing an effective strategy for the growth and development of the business. The paper defines the strategy in order to distinguish what is the strategy and what is not. It helps the organization in determining what should be done and what should be avoided. For example, achieving operational effectiveness should not be considered as a strategy. Achieving operation effectiveness is necessary but it is not sufficient. The paper has found that achieving a sustainable strategic position requires trade-offs. A sustainable strategic position as well as competitive advantages both could not be achieved at the same time. However, a good fit can ensure both competitive advantages as well as sustainability. Therefore, it is very important for the organization to focus on achieving a good fit so that it can achieve competitive advantages as well as sustainability.

The researcher has used a qualitative research design to conduct this paper and report the findings. The paper has explained the concept using real organizations that provides an insight into how an organization can achieve a fit between strategic position and sustainability in order to ensure competitive advantages. This is the key strength of this paper. However, the finding of the paper is general and very common. It must provide a unique solution to the problem.

The paper "The business model concept: theoretical underpinnings and empirical illustrations" is written by Hedman & Kalling. The purpose of this research paper is to provide an outline for a conceptual business model and proposes that it should include customers and competitors, the offering, activities and organization, resources, and factor market interactions. Researchers have described the concept of the business model and its importance for business particularly for e-businesses. The researchers have explained various components of the business model and hence the paper provides input as to which components should be used or included in the business model through which researchers as well as managers can understand the causal relationship between the business and IS.

The researchers have used a qualitative research design and a wide range of scholarly literature has been used to provide an insight into the research problem. They have found that aligning IS into the business model helps the business to maximize its strengths along with improving the weaknesses. The strength of the paper is that the researchers have used a wide range of other research papers to support their arguments. However, the findings of the paper cannot be generalized in all industries that is one of the weaknesses of the paper.