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NEW BUSINESS MODEL & STRATEGY FOR INTERNET ECONOMY
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Business Model
A business model describes what a firm will do, and how, to build and capture wealth for stakeholders
Effective business models operationalize good strategies -- turning position and fit into wealth
Effective Business Models Require Hard Choices
About who matters
Owners, investors, family, workers, community
About what kind of wealth matters
Financial capital, social capital, intellectual capital...ie., cash, good life, rich family life, entrepreneurial impact, social impact
About the strategy that will deliver the wealth that matters to the stakeholders that matter
About the structure that supports strategy
The Web (Cluster/Platform) Strategy
Webs – not the WWW, but ‘clusters of companies collaborating around a particular technology’
Web – a new form of industrial structure
Webs create powerful new ways to think about strategy, risk, technological uncertainty and innovation
Examples –Microsoft/Intel; Novell PC networking system; SAP integrated IT solutions; Netscape; Sony playstation etc.
NEW BUSINESS MODEL & STRATEGY FOR INTERNET ECONOMY
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NEW BUSINESS MODEL & STRATEGY FOR INTERNET ECONOMY
Business Model
A business model describes what a firm will do, and how, to build and capture wealth for stakeholders
Effective business models operationalize good strategies -- turning position and fit into wealth
Effective Business Models Require Hard Choices
About who matters
Owners, investors, family, workers, community
About what kind of wealth matters
Financial capital, social capital, intellectual capital...ie., cash, good life, rich family life, entrepreneurial impact, social impact
About the strategy that will deliver the wealth that matters to the stakeholders that matter
About the structure that supports strategy
The Web (Cluster/Platform) Strategy
Webs – not the WWW, but ‘clusters of companies collaborating around a particular technology’
Web – a new form of industrial structure
Webs create powerful new ways to think about strategy, risk, technological uncertainty and innovation
Examples –Microsoft/Intel; Novell PC networking system; SAP integrated IT solutions; Netscape; Sony playstation etc.
