Prevailing Business Models Research Articles

Sustainable apparel? Is the innovation in the business model? - The case of IOU Project

Since sustainability approaches to the apparel industry are based on incremental rather than transformative solutions, the prevailing business models need to be changed. This paper will introduce the IOU Project as an example about disruptive business model in the apparel and fashion sectors. This case was selected since disruptive innovation requires an entrepreneurial mindset and spirit with close coordination and cooperation among all participants (JAMA 352:24-28, 2004). The analysis - which is based on the Clark, Osterwalder, and Pigneur’s (2012) business model (personal) ‘canvas’ - puts special emphasis on the supply chain development and on the relationship developed between the initiative and its customers, as well as on whether or not it fostered a relationship between the customer and the artisans who were part of the supply chain. To develop this case, the authors collected background and qualitative and quantitative information of the company from its participation in the Best Performance in Sustainable Luxury in Latin America Award, getting this award in the category ‘Best Fashion and Accessories Enterprise of Sustainable Luxury’ in the 2011 edition. This source was supplemented with the chapter written by Kavita Parmar (2014) in the book entitled Sustainable Luxury and Social Entrepreneurship - Stories from the Pioneers, whose editors were Miguel Angel Gardetti and Maria Eugenia Giron (2014). Moreover, the authors considered the e-mails exchanged with Ms. Parmar within the framework of the above award. Using a disruptive business model, the IOU Project manages to develop a value chain based on craftsmanship. Craftsmanship breathes humanity into objects, allowing the individual to create for the individual. In doing so, it translates the principles of knowledge, purpose, and timelessness into products that represent unique achievements (Ricca and Robins, 2012:53). Within this framework, supply chain management became a strong driver of value, for the IOU but for artisans and customers as well (Kell, 2010). Finally, the IOU business model helps develop a strong relationship with consumers and artisans which dignifies the latter and appreciates their work.

Evidence Base on Outpatient Behavioral Treatments for Adolescent Substance Use: Updates and Recommendations 2007–2013

This article updates the evidence base on outpatient behavioral treatments for adolescent substance use (ASU) since publication of the previous review completed for this journal by Waldron and Turner (2008). It first summarizes the Waldron and Turner findings as well as those from more recent literature reviews and meta-analytic studies of ASU treatment. It then presents study design and methods criteria used to select 19 comparative studies subjected to Journal of Clinical Child & Adolescent Psychology level of support evaluation. These 19 studies are grouped by study category (efficacy or effectiveness) and described for sample characteristics, methodological quality, and substance use outcomes. Cumulative level of support designations are then made for each identified treatment approach: ecological family-based treatment, group cognitive-behavioral therapy, and individual cognitive-behavioral therapy are deemed Well Established; behavioral family-based treatment and motivational interviewing are deemed Probably Efficacious; drug counseling is deemed Possibly Efficacious; and four integrated treatment models combining more than one approach are deemed Well Established or Probably Efficacious. The remainder of the article (a) articulates fidelity, mediator, and moderator effects reported for evidence-based approaches since 2008 and (b) recommends four enhancements to the prevailing business model of ASU outpatient services to accelerate penetration of evidence-based approaches into the underserved consumer base: pursue partnerships with influential governmental systems, utilize web-based technology to extend reach and control costs, adapt effective methods for linking services across sectors of care, and promote uptake and sustainability by emphasizing return on investment.

Innovation in business models in the video game industry: Free-To-Play or the gaming experience as a service

The shift from physical to digital platforms has turned entertainment from a commodity into a service. The video game industry has embraced this evolution for many years. However, until recently it was mainly confined to the digital distribution of games (such as subscriptions for MMO games; or multi-games platforms with new services such as playing with friends, automatic updates on Steam or Battle.Net platforms). Recently, a new prevailing business model known as Free-To-Play (or F2P) has completely reversed the logic of the traditional value chain, and therefore the relationships between players and developers. How does this F2P business model work, and just how organized is the new value chain? What is its economic structure? This paper proposes a conceptual framework for analyzing the micro-economic properties of the business model. It shows that the new value chain is structured around gaming experience as a service, and considers it‟s the managerial consequences.

Sustainable leadership: honeybee practices at a leading Asian industrial conglomerate

PurposeAvery and Bergsteiner's updated set of 23 sustainable leadership practices derived from sustainable enterprises and five performance outcomes provides a framework to examine the business practices of Thailand's largest conglomerate, Siam Cement Group (SCG). The aim of this paper is to build on and expand Kantabutra and Avery's study based on Avery.Design/methodology/approachThe analysis was conducted by grouping Avery and Bergsteiner's principles into six categories, namely taking a long‐term perspective, investing in people, adapting the organizational culture, being innovative, exhibiting social and environmental responsibility, and behaving ethically. Adopting a multi‐data collection approach, research teams supplemented case study data with non‐participant observations from visits to the conglomerate and its training sessions. Multiple stakeholders were interviewed in semi‐structured interviews. Documentation and information supplied by, or published about, the conglomerate was consulted.FindingsAll six sets of practices, which sharply contrast with the prevailing business model of short‐term maximization of profitability but are consistent with the 23 sustainable leadership practices, were found to apply in varying degrees to SCG. A total of 19 applied strongly, with three others moderately strong.Practical implicationsGiven that sustainable leadership principles are associated with enhanced brand and reputation, customer and staff satisfaction, and financial performance, the new Sustainable Leadership Grid provides corporate leaders with a useful checklist for this purpose.Originality/valueThis paper reports on the first examination of Avery and Bergsteiner's 23 sustainable leadership elements in a developing economy. It shows that even a publicly‐listed company can resist pressures to conform to business‐as‐usual practices and adopt the long‐term, socially responsible principles of “honeybee” sustainable leadership.

Prospects for Managing Turfgrass Pests with Reduced Chemical Inputs

Turfgrass culture, a multibillion dollar industry in the United States, poses unique challenges for integrated pest management. Why insect control on lawns, golf courses, and sport fields remains insecticide-driven, and how entomological research and extension can best support nascent initiatives in environmental golf and sustainable lawn care are explored. High standards for aesthetics and playability, prevailing business models, risk management-driven control decisions, and difficulty in predicting pest outbreaks fuel present reliance on preventive insecticides. New insights into pest biology, sampling methodology, microbial insecticides, plant resistance, and conservation biological control are reviewed. Those gains, and innovations in reduced-risk insecticides, should make it possible to begin constructing holistic management plans for key turfgrass pests. Nurturing the public's interest in wildlife habitat preservation, including beneficial insects, may be one means to change aesthetic perceptions and gain leeway for implementing integrated pest management practices that lend stability to turfgrass settings.

Informal markets for electricity: economics of lighting for hawkers in India

PurposeThe purpose of this paper is to investigate the economics of supplying energy needs for illumination requirements by hawkers using alternatives like compact fluorescent lamps battery lamps, liquefied petroleum gas mantle lamps or supply from mini‐grids supported by local diesel generators. Further, the prevailing business models like the lamp rental and the mini‐grid models, which epitomise informal electricity markets, are also analysed.Design/methodology/approachThree localities in Kanpur city are identified and data on techno‐economic characteristics of illumination options used by hawkers are collected. To compare the available options with varying capital life‐span, equivalent annual cost approach is utilized. This is used to calculate the levelised cost of 1 kiloWalthour energy used for providing illumination.FindingsThe daily user cost of illumination ranges from Rs 6.1 to 17 (for four hours) across the four existing models studied in the paper. This translates to Rs 31.3 to 312.5 per kWh of electricity use. The technology choice by hawkers is influenced by lack of initial capital and inconvenience associated with cheaper options than overall economics of the alternative option is found.Practical implicationsThe paper highlights the absence of financial and institutional intervention that can help significantly reduce the cost of electricity access by such users and also help adoption of greener options like solar lanterns or solar battery bank charging stations. A practical solution may include a greater role of micro‐finance institutions. Greater awareness and capacity building needs of local entrepreneurs as well as of end‐users also need attention.Originality/valueThis is perhaps one of the few attempts to unravel the informal electricity markets in India and help identify issues that need attention so as to address needs of millions of consumers at the margin of the electricity grid in the country.

The Corporate Transformation of Medical Specialty Care: The Exemplary Case of Neonatology

The key to wealth in health care is the physician, who certifies to third-party payers that health care items and services are necessary for patient care. To compete more effectively for this wealth, physician specialists are organizing their practices into for-profit corporations and employing other physicians. Focusing on neonatology, this article describes the prevailing business model of these for-profit medical groups as controlling employed physicians through restrictive employment contract provisions, e.g., non-compete and mandatory arbitration clauses. With this business model and because of deficiencies in current law, for-profit medical groups eliminate competition from other physician specialists to the detriment of patients and consumers.

What Has Been Learned from Emergent Music Business Models?

The article investigates lessons learned from the emergence of new music industry business models and assesses how these might inform the rapidly developing online video and television marketplace. It describes the background and traditionally prevailing business models for both content processes, providing a context against which technologically mediated changes can be understood. The practical effects of technological changes are illustrated through a series of case studies, subsequent to which alternative frameworks for music and video content online are proposed. The initial results of these changes are thus demonstrated, and the article identifies requirements for further research in this rapidly changing and increasingly turbulent field of research.

95/05851 The LNG industry in 1993

The most significant event to mark the LNG trade in 2011 has been the catastrophe that hit Japan in March, in view of both its short-term effect on shifting flows and its long-term demand prospects of LNG as a source for gas-fired power generation. The role of LNG as a flexible and secure energy source as well as the prompt response to provide back-up through additional supplies and cargo diversions to compensate for the sudden loss of nuclear capacity in Japan - with sellers exercising due price restraint in view of the human tragedy - has been a credit to the industry. The increase in production capacity in 2009 and 2010, in particular from Qatar, had permitted the necessary buffer to cope much better with the demand surge than during past disruptions (such as the aftermath of the Chuetsu earthquake in late 2007). Undoubtedly, the marked shift over the last decade in the industry's prevailing business model towards global trade, destination flexibility and portfolio play has also facilitated the rapid response. As the total volume of LNG trade is very much determined by the availability of supply, 2011 has seen a growth of 9.4% over 2010, mainly as a result of the full availability of the six Qatar mega-trains over the past year. On the demand side the two traditional basins have shown a very contrasting trend: 15% higher LNG off-take in Asia (the five major markets all increasing between 37.4% and 8.9%), versus a 1.7% decrease in the Atlantic Basin. Cargo diversions and an increasing number of reloads have boosted the exports from the Atlantic Basin to Asia in 2011 to more than 14 million tons (equivalent to more than 200 large size cargoes). Remarkable is also the fast growth in new markets in Latin America and in the Middle East - albeit from a small base - with counter-seasonal but varying demand, offering attractive arbitrage opportunities to portfolio play. Not surprising then that 2011 has seen another hike in spot and short-term trade, not just in absolute terms but also as a percentage of total trade (50% over 2010 ). The outlook for LNG is strong and its global demand prospects further enhanced in the wake of the nuclear issues, the emergence of new buyers and the decline of indigenous reserves of gas exporters. This has underpinned a growing investment confidence which in turn resulted in 5 FIDs (Final Investment Decisions) in 2011 for a total liquefaction capacity of 27 million tons p.a. An event of great commercial significance in this regard would undoubtedly be one, or more FID's in North America in the near future.