Modul 4: Insights Flashcards
(2 cards)
1
Q
1
A
- Business models like Zara’s “Cheap Chic -Fast Fashion” model consist of four main components: the customer value proposition, which must be carefully defined, the key resources, key processes and the profit formula.
- With these four main components and their nine sub-components, business models can be precisely described at the macro level and compared with alternative business models in order to check their unique position.
- Business models with a “third-order fit” (Porter) such as Zara´s are able to secure a competitive advantage.
2
Q
2
A
- The business model of the digital two-sided or multi-sided marketplace, which is also referred to as the platform ecosystem or simply platform, has assumed a key role of the internet, net least because it offers the possibility of dominating a market (“winner takes it all”) and offers the prospect of high profitability.
- The business model of the digital two-sided or multi-sided marketplace is a major threat for its competitors due to their intermediation and disintermediation in the value chain.
- An established company should consider introducing a new business model in parallel to the existing one when it enters another established market or when it is scaling up a new market which is just forming.
