The dynamics and evolution of business models

Abstract

In the article we discuss the relevance of service innovation in smart cities. We also discuss trends and drivers that stimulate the development of data infrastructure and define our core concepts. Our focus is on the design of data infrastructures for smart cities and their underlying business models. At the moment, there is no common framework for data infrastructure design nor is there a common framework for designing a common reference architecture for data infrastructure and their business models. We have tried to develop the first framework part of the SMARTify approach. We discuss the theoretical foundation for our business model approach, defining the business model concept as well as the core concepts and specifying the relevant concepts in the business models domains. We look at the interdependencies within as well as between the domains and discuss the core concepts from a design perspective, as well as the CDIs (critical design issues). We also explain in detail the viability and feasibility of business models by looking into CSFs (critical success factors).