Review on Formalization of Business Model Evaluation for Technological Companies with Focus on the Electronic Design Automation Industry

Abstract

Abstract The paper aims to help the process of problem-solving and task formalization, from a business point of view, in the Electronic Design Automation (EDA) Industry, operating in dynamic environments with many influencing factors. High-Tech industries are under continuous pressure to innovate their products and not all companies can keep up with the latest trends. To formalize problems related to business model evaluation in the EDA industry, first, a review was done to look for mathematical and non-mathematical methods used in the business model evaluation field. The following were chosen as possible to apply and adapted for our problem definition, formulation, and solving: Set and Topos theory, Factor analysis, Structural equation modeling, Partial least square, Game theory, System dynamics, PESTEL analysis, and Scenario planning. In the last section, suggestions on how to apply these methods for EDA industry and problem formalization of an EDA company are proposed.