Types Of Business Models Research Articles

"I see it as a wellspring for my positive and upward journey in life.": Understanding Current Practices of Assistive Technology's Customized Modification in China

Due to the significant differences in physical conditions and living environments of people with disabilities, standardized assistive technologies (ATs) often fail to meet their needs. Modified AT, especially DIY (Do It Yourself) ATs, are a popular solution in many high-income countries, but there is a lack of documentation for low- and middle-income areas, especially in China, where the culture of philanthropy is undeveloped. To understand the current situation in this paper, we conducted semi-structured interviews with 10 individuals with disabilities using modified ATs and 10 individuals involved in providing these including family members, standard assistive device manufacturers, and individuals employed for their modification skills, etc. Based on the results of the thematic analysis, we have summarized the general process of modified ATs for people with disabilities in China and the benefits these devices bring. We found that modified ATs not only make the lives of people with disabilities more comfortable and convenient but also bring them confidence, reduce social pressure, and even help them achieve self-realization. Additionally, we summarized the challenges they encountered before, during, and after the modification, including awareness gaps, family resistance, a lack of a business model, and so on. Specifically, we conducted a special case study about the typical business models and challenges currently faced by AT Modification Organizations in China. Our research provides important design foundations and research insights for the future of universal and personalized production of AT.

Knowledge-based dynamic capabilities for managing paradoxical tensions in circular business model innovation: an empirical exploration of an incumbent firm

PurposeThis paper aims to gain insights into the paradoxical tensions emerging from circular business model innovation (CBMI) and how to overcome them by developing a theoretical framework drawing on two theoretical streams: firstly, the paradox theory for shedding light on the often “invisible” contradictions generated by the implementation of circular economy (CE) principles in business model transformation; and secondly, the dynamic capability theory that can contribute to the investigation of how to manage these contradictions.Design/methodology/approachThe study uses a longitudinal case study approach to gain an in-depth understanding of the transformation and challenges faced by an incumbent firm in adopting a circular business model. Qualitative research methods are used to explore the paradoxical tensions and dynamic capabilities involved in the process.FindingsThe study finds that incumbent firms face numerous challenges and paradoxical tensions in the CBMI process. These tensions arise from difficulties in implementing organizational changes, balancing competing priorities and managing conflicting goals. Dynamic capabilities are crucial in managing these tensions and facilitating the transition to a circular business model.Research limitations/implicationsThis paper contributes to the theoretical development of paradox theory by applying it to the new field of CBMI which is currently slightly investigated and responds to the call for studies looking at more fine-grained types of sustainable business models. The study adds to previous literature that how the firm handles paradoxes and tensions influences the pace and results of the process. If the firm becomes discouraged during the early stages of identifying new opportunities, the pace slows down, and the firm becomes hesitant to collaborate more with partners. Furthermore, the ability to capitalize on these opportunities is affected by these tensions and contradictions.Originality/valueThis paper contributes to the literature by empirically investigating the process of CBMI in incumbent firms. It fills the gap in existing research by examining the existence of paradoxical tensions in a real-life setting and exploring the role of dynamic capabilities in managing these tensions. The findings provide practical insights for firms seeking a transition towards a CE and highlight that the ability to sense the external context should be developed as the new business model entails a central role of external actors.

Promoting Sustainability in the Automotive Industry: Economic Comparison of Dealer Sales Model and Agency Sales Model of Electric Vehicles in Slovakia

Electrification is becoming an increasingly important part of many industries. Electrification is a crucial area of interest in developing electric vehicles and charging infrastructure in the automotive industry. Research and innovation in the field of electric vehicles indicate positive trends. The rise in sales of electric vehicles represents a significant shift away from traditional fossil fuel-powered technologies to more sustainable and efficient alternatives. Electrification also brings with it new trends in sales models. The paper aims to identify recommendations for the practical adaptation of the importer of electric vehicles in the Slovak market based on the analysis of the financial and economic impacts of the sale of electric vehicles. This paper approaches two essential research topics. The first research topic focuses on the analysis of vehicle sales, specifically electric vehicles, and based on the analysis of existing sales, the paper will also outline the sales plan of the selected brand in the period 2023–2025. The second research topic focuses on changes in the business model for the sale of electric vehicles. One of the findings is that a specific indirect sales model for the automotive industry, i.e. selling vehicles through dealers, is used. In the long run, the new agency sales model standards should help correct many of the shortcomings of the current sales system. The effects on the profitability of sellers can be defined mainly by smaller financial costs caused by the cancellation of storage spaces, smaller credit indebtedness resulting from not creating warehouse stocks, and a greater focus on sales and additional services aimed at the end customer. Agency selling also allows the seller to get precious data about the customer and feedback directly to the manufacturer, which can serve as a valuable source of information for improving goods and services, which, in the long run, can lead to greater profitability for sellers. However, the Agency sales model is also coming to the fore. In this paper, the given types of business models are compared, their advantages and disadvantages are highlighted, and last but not least, the expected profits of the analysed company are calculated for both types of sales models. Keywords: agency sales model, business model, dealer sales model, economic comparison, electric vehicle

Barriers to circular economy adoption are diverse and some are business-model specific: Evidence from the Australian cheese manufacturing sector

Achieving Sustainable Development Goal (SDG) 12.3, aimed at halving food loss and waste by 2030, requires private firms to adopt circular economy practices, which may include different types of circular business models (CBMs). This study examines four interchangeable CBMs—in-house (IH), third party (TP), joint venture (JV), and focal company (FC) models—focusing on the Australian cheese manufacturing sector and its liquid by-product, ‘whey’. Through semi-structured interviews with 43 participants from 42 firms, we analysed how barriers differ across CBMs. Some barriers are consistent across all CBMs, such as economies of scale and operational costs. Others are absent in one or two CBMs (e.g., capital costs in JV and competing priorities in TP), while some are unique (e.g., low or inconsistent demand in IH, payment expectations in TP, conflicting values or personalities in JV, and upstream product specifications in FC). Findings indicate that while IH models are feasible for all production scales with sufficient time and resources. TP models are suitable for firms with time constraints, provided there is agreement on compensation with the recipient. JV could work for firms lacking volumes or capital but require local collaboration and transparent business plans. Utilising existing infrastructure of firms already repurposing by-products can be effective but requires upstream firms meeting product specifications. By exploring multiple CBM options, the willingness to explore circular economy approaches increases markedly when considering multiple CBMs (79%) versus IH approaches alone (33%). This highlights the necessity for diverse strategies to achieve SDG 12.3, as a one-size-fits-all approach is insufficient. Firms may need to partner with others for repurposing, and those already repurposing can enhance efforts by enabling others to repurpose waste, though multiple pathways also increase potential barriers.

Relational or Transactional? The Importance of Distinguishing Two Types of Community-Supported Business Models

Scholars are increasingly exploring community-supported businesses (CSBs) as promising alternatives to conventional ones. However, researchers are so far overlooking that CSBs vary in their underlying business models, that is, how they propose, create, and capture value. We apply a multi-staged qualitative research process to carve out the differences between community-supported business models (CSBMs) that exist in practice. Our research shows that transactional and relational CSBMs differ in how they propose, create, and capture value which, in turn, has implications for the resources required to thrive.

OPPORTUNITIES FOR INTEGRATION OF DIGITAL BUSINESS MODELS IN INTERGENERATIONAL BUSINESSES

In today‘s hyper-­digitalised world, continuity and collaboration between digital and traditional business models becomes a necessary and even mandatory condition for achieving competitiveness and success. This key emphasis also applies to intergenerational business initiatives, which have the potential to bring together the knowledge, experience and creativity of different generations in a win-win way for all stakeholders. The main objective of the present research is to analyse the benefits of integrating digital business models in the context of intergenerational entrepreneurial initiatives. In order to achieve the goal formulated in this way, fundamental definitions and characteristics of the concept of „digital business model“ have been derived, supported by the existing theoretical knowledge and practical experience of the authors of the report. In addition, basic types of business models developed primarily in a digital environment have been identified, and current examples from the field of digital entrepreneurship have been synthesised. The scope of the research includes the results of a survey conducted in 2023 at the University of Ruse „Angel Kanchev“ (Bulgaria), covering 581 students. This aspect of the study aims to illuminate students‘ readiness to engage in intergenerational entrepreneurial initiatives. The discussion is enriched with reduced potential opportunities for the capacity of digital business models to improve the performance of individual family business ventures innovatively. In this way, by combining traditional with digital, it is possible to construct a solid and integrated intergenerational entrepreneurial chain capable of preserving and building on existing values and experiences in a positive way.

Business model of international consulting: main characteristics and elements

Based on the analysis of the essence and modern types of business models of enterprises, the basic professional service business model of the international consulting "Consultant" and reveals its main characteristics is substantiates: the B2B model, the modification of the "Producer" business model, the integration of elements of service and digital business models, customer orientation. Based on the Business Model Canvas, the main components of the basic business model of international consulting are revealed: key partners: partner intra-service and inter-service networks of the consulting firm; key activity: providing professional assistance to business organizations in solving problems of international economic activity; key resources: intellectual human, organizational, market; value proposition: the value services of international consulting for the client; relations with clients: client orientation, client-centricity, positive client experience, cooperation between consultants and clients at all stages of the consulting process; channels: omnichannel, cross-channel communications; customer segments: target audiences, customer networks; cost structure; income streams. Client networks as a component of the basic business model of international consulting are characterized and measures to optimize them are disclosed: forming a loyal attitude of clients to the consulting firm, consultants, and services; accumulation and protection of a network of regular customers; forming a positive customer experience; improving the efficiency of consultant-client relations; development of omnichannel provision of professional assistance to clients; ensuring client orientation of the personnel of the consulting firm; management of the value and quality of consulting services; introduction of new consulting services and technologies based on consulting innovations.

Sustainable Innovation in the Digital Age: Analyzing the Motivations of the Young Generation in Joining the Sharing Economy

The main goal of the article is to identify the most important motives of young consumers in Georgia to participate in business models of the sharing economy (car-, ride-, accommodation-, tool-, meal-, tech-, and fashion-sharing), as well as to justify the dominant form of participation (as users or as providers of sharing services). The study is based on a survey conducted in Georgia in 2023 of 60 young people aged 18 to 27 who identify as potential participants in the sharing economy. The study is structured as follows: in the first stage, participants were given specific scenarios for various categories of shared goods and services using digital platforms (relevant for the younger generation), in which they had to estimate the probability of their interest; at the second stage, it was determined which motives (financial, social, or environmental) are decisive in choosing the scenarios that aroused the most significant interest. The study showed that for all types of serial business models, the desire to be a user of e-services significantly outweighs the desire to be their provider: this gap is the largest for car-, accommodation-, and fashion-sharіng services, and the smallest for ride-, tool-, and meal-sharing services. Economic motives turned out to be dominant for those who see themselves as consumers of sharing services and those who are ready to be their providers. They have the biggest influence on tech-sharing sector. Social motives (peer influence and community involvement) appeared to be more critical for providers than consumers, with their influence being the strongest in the ride-, accommodation-, and fashion-sharing sectors. For young consumers in Georgia, environmental awareness turned out to be the most significant motive to participate in the sharing economy mainly in the car-sharing industry. For users of sharing services, the impact of the environmental factor appeared to be greater than for their potential providers. The constructed correlation matrices proved that for consumers of sharing services the following pairwise correlations are the most significant: car- and accommodation-sharing, car- and fashion-sharing, accommodation- and fashion-sharіng; while for providers the most significant are: car- and tech-sharіng, accommodation- and meal-sharing, tool- and meal-sharing, fashion- and tech-sharing.

Six Business Model Types for Circular Building Component Reuse Actors

While circular business models are receiving increasing academic attention, the business models of real circular building companies remain underexamined. This paper builds upon existing conceptual proposals and general overviews of reuse actors to investigate how these organizations capture and create value within the constraints of the marketplace. Using data from case studies of 25 organizations involved in the reuse of construction waste streams, the business model of each case is described and compared using Osterwalder and Pigneur’s Business Model Canvas. The authors propose six categories of circular construction business model types: upcyclers, component-specific suppliers, material resellers, reuse platforms, reuse consulting offices and deconstruction companies. The key findings include the studied organizations’ consolidation of multiple waste and new product streams, the strategic minimization of hard assets, the cultivation of diverse revenue streams and an emphasis on private market solutions.

Innovative Design of Marketing Ecosystems

This study is devoted to the issues of ecosystems and the ecosystem approach. The formation and use of marketing ecosystems can simplify both the processes of transformation of technological patterns and the interaction of different types of business models of enterprises. A separate focus is on marketing ecosystems as one of the important innovations of Industry 5.0. The transition from Industry 4.0 to Industry 5.0 is accompanied by the creation of the necessary software and algorithmic base of quantum computing, introduction of technologies for visualisation of management decisions, development of neuromorphic models of enterprise architecture, digital twins of business processes.The purpose of the study is to develop approaches to designing a marketing ecosystem within the framework of Industry 5.0 and Industry 4.0, which is necessary for building effective interactions between innovative enterprises of different business spheres. The article considers the stages of innovative design of new marketing ecosystems, the result of which is the end-to-end integration of information resources of their member enterprises, which is necessary for the consolidation and synchronisation of structured and unstructured data on different business models of companies and the organisation of predictive analytics mechanisms. In the course of the work, the method of scientific analysis of literature on the research problem was applied, and the empirical experience of the authors of the article was used. The results of the study will be useful to all managers of innovative companies as well as the heads and employees of marketing departments of these companies.

Doing good while making profits: A typology of business models for social ventures

AbstractResearch SummaryBuilding on business model research and the social entrepreneurship literature, we conceptually develop a set of business model choices for social ventures. These choices specify the scope of venture beneficiaries, the extent that customers and beneficiaries overlap, and how social meaning is attached to the venture's value proposition. Concurrent configurations of these choices give rise to four types of social business models: (1) Social Stimulators, (2) Social Providers, (3) Social Producers, and (4) Social Intermediaries. We illustrate this typology using data from seven social ventures and formulate propositions about the implications these business model choices have for a venture's value creation and value capture potential. We then discuss contributions to the literature on social ventures and social entrepreneurship, and the literature on business models.Managerial SummaryIn this article, we propose a framework outlining key business model choices for social ventures. These choices include the scope of target beneficiaries of the venture, the degree of overlap between customers and beneficiaries, and how the venture communicates its social mission through its value proposition. By combining these choices in different ways, we identify four distinct types of social business models which we call Social Stimulators, Social Providers, Social Producers, and Social Intermediaries. To bring this framework to life, we have examined data from seven real‐world social ventures, offering concrete examples to illustrate each type. For each of these four types of social business models, we have also formulated propositions about how the business model choices impact a venture's value creation and value capture potential.

Examination of Operational Strategy of International Tourist Hotels

To gain a competitive edge in the dynamic landscape of the global tourist hotel industry, strategic development is important. Thus, we scrutinized the strategic management plans to diversify hotel business models, focusing on the role of Chief Executive Officers (CEOs). We conducted qualitative research with a snowball sampling method and interviewed ten experienced CEOs who were engaged in the industry. All interviewees possessed a minimum of 14 years of expertise and experienced a minimum of two types of business models. They experienced the industry as entry-level employees and various tasks such as room or food and beverage (F&B) management. Four used to work for six hotels and four for globally franchised hotels. The research result revealed that CEOs must have self-learning and a proclivity to undertake challenges in diverse regions and distinct systems. Moreover, CEOs need to align their operational strategies with the eight indices specified by the Tourism Bureau. The business model of the global hotel franchise is attributed to its cost-effectiveness, profitability, and autonomous decision-making capabilities. The management team with industry expertise is advantageous for the hotel. Eight operational strategies were proposed to mitigate potential damages arising from external factors. Franchise hotels exhibited commendable accommodation rates and profitability compared to their independent counterparts. To alleviate interdepartmental conflicts, well-organized supporting systems must be implemented.

Business model innovation and internationalization: investigating the relationship through the dynamic states approach

PurposeThis empirical paper investigates how entrepreneurial firms change their business models in the context of internationalization by identifying different forms of business model innovation (BMI) and exploring the interrelationship between BMI and internationalization.Design/methodology/approachBased on the dynamic states approach of entrepreneurship (Levie and Lichtenstein, 2010), this paper analyses primary and secondary data from nine European firms following a multiple case study approach.FindingsThis paper presents four patterns of radical change and eight types of incremental adaption with-in business models in the context of internationalization. We describe these BMI patterns and types, and we also show how they contribute to increasing involvement in international business activities and the internationalization-related triggers that might cause them.Originality/valueThis paper contributes to a better understanding of the BMI process in the course of internationalization. It also highlights the complex interrelationship between BMI and internationalization by building on a progressive theoretical approach.

Transformation of the company's business model in accordance with the circular economy principles

Subject. This article examines the problem of an enterprise's choice of the optimal way to transform its current business model into one of the types of circular business models. Objectives. The article aims to determine the most expedient way to transform the business model of a light industry enterprise according to economic criteria. Methods. For the study, we used a function modeling methodology (IDEF0) and the cost-benefit analysis. Results. A comparative analysis of the economic parameters of two waste management projects at a light industry enterprise shows that the most expedient is to create a spin-off enterprise to implement the open recycling model (that is, to search for permanent partners to organize the waste processing process at their production base).

Barriers to adopting circular business models: A cross‐sectoral analysis

AbstractFirm‐level adoption of circular business models is a crucial part of the transition toward circular economy, but companies that delve into such pursuits often encounter a series of barriers that hamper their success. Although multiple studies on barriers to circular economy have been made, there is a lack of understanding of how barriers are formed under firm‐specific characteristics such as sectoral conditions and the type of circular business model adopted. To bridge this gap, we illustrate a barrier framework in a multiple‐case study including nine Swedish firms. We derived about 28 barriers within five categories of circularity approaches (design, waste, service, platform, and nature) across three sectors (furniture, electronics, and garment). This research contributes to the circular economy literature by revealing how adhering to certain sectors and circular business approaches significantly changes the way barriers are perceived by firms. The outcomes may support both practitioners and policymakers as they facilitate circular economy transitions.

Creating valuable outcomes: An exploration of value creation pathways in the business models of energy communities

Energy communities (ECs) have emerged as new, collective market actors within European energy systems. Their innovative business models are thought to result in a multiple types of value creation that transcend mere economic considerations. Yet, despite widespread acknowledgement of this, how multiple types of value are created in ECs remains inadequately explored and understood. We engage with this challenge by (1) situating ECs within the longer history and body of knowledge on community participation in energy systems before (2) mobilising insights on value creation from the literature on business models, and (3) distinguishing between value creation as a business model process and types of value outcomes derived from business activities. We apply this approach to three paradigmatic European cases and through comparative analysis identify two distinct value creation pathways. The first pathway links business activities and how they are assembled to functional value outcomes such as cost savings or CO2 reduction, which are quantifiable. The second pathway links how ECs are governed to normative value outcomes such as increased agency or social cohesion, which is a matter of individuals' perception. These results, we argue, call for greater attention and support to questions of organisation and process to ensure the transformational potential of ECs is realised.

КООПЕРАТИВИ ПІДПРИЄМЦІВ ТА ЇХНІ БІЗНЕС-МОДЕЛІ

The article reflects the functional features of entrepreneurs' cooperatives, classifies them by categories of participants (cooperative members), and also provides general information about the business models of such cooperatives. Emphasis is placed on the fact that this topic has not been comprehensively reflected in Ukrainian economic literature. In particular, the publications of Ukrainian scientists are mainly devoted to the problems of the development of service (service) cooperatives in the environment of small agribusiness, despite the wide spectrum of such cooperatives in the practice of foreign countries. A general definition of cooperatives of entrepreneurs is proposed, which interprets them as open to the participation of new participants, democratic in terms of the management of a special type of enterprise, owned on a share basis by entrepreneurs who pool resources to provide themselves with the necessary services at cost price. It is emphasized that along with specific features regarding organization and functioning, cooperatives of entrepreneurs can have typical business models, oriented to certain groups of clients from among individuals and legal entities. Thus, the business-to-business (B2B) group of cooperatives is focused on companies that sell their goods or services exclusively to other businesses, while the business-to-consumer (B2C) group includes those that sell their goods or services to consumers. At the same time, combinations are also possible - a B2B-B2C business model. Also, for a clear idea of all the possibilities of an individual cooperative of entrepreneurs (its potential), it is suggested to use the canvas of A. Osterwalder's business model when planning its activities. The latter can be the basis for building an effective strategy of the cooperative, which as a result should affect the profitability of the personal business of the participants (members) of the cooperative of entrepreneurs. A general conclusion was made that for a qualitatively new stage of the development of the cooperative movement in Ukraine, it is advisable to expand the range of existing cooperatives of entrepreneurs, and the management bodies of existing cooperatives need to move away from primitive planning of activities. For this, it is important to use foreign scientific and practical approaches that have proven effective in many countries of the world.

Methods and models for substantiating application scenarios for the digitalization of manufacturing and business processes of network enterprises

The process of digital transformation of enterprises is associated with the organization of manufacturing and business processes within the framework of selected types of business models and digital platforms, the distribution and economic substantiation of the roles of participants in network interactions, and ensuring the semantic interoperability of their interaction. Currently, certain experience has been accumulated in the implementation of modern business models for the digital transformation of enterprises which is reflected in the concepts of the Industrie 4.0, the Industrial Internet of Things, the creation of cyber-physical production systems, smart enterprises and intelligent manufacturing. At the same time, the issues of conceptual modeling of the architecture of digital enterprises, which determines the construction of manufacturing and business processes, and its economic substantiation depending on various factors of the external environment and internal economic potential have not yet been sufficiently researched and developed. All of the foregoing determines the relevance of the work presented here. The purpose of the study was to develop ontological and economic methods for substantiating application scenarios for the digitalization of manufacturing and business processes depending on the selected types of business models and digital platforms. To solve the problem, methods of classification, ontological engineering, activity-based costing and analysis of cash flows of income and expenses are used. The article presents an analysis of enterprise digitalization scenarios depending on the types of manufacturing and business processes, the types of business models and digital platforms used. An ontological model of enterprise digital transformation has been constructed, providing a choice of application scenarios for the digitalization of manufacturing and business processes for various types of business models and digital platforms. An economic model is proposed to justify options for constructing application scenarios for the digitalization of production and business processes depending on the distribution of roles of participants in network interaction using methods of activity-based costing and cash flow analysis.

Analysis of Service Quality Improvement Strategies for Internet Online Education Products

In today's booming Internet economy, the Internet online education content, because of its simple content composition and low market entry barriers, so that many companies have chosen this type of business model. In the process of profitability, most companies ignore customer satisfaction and use short-sighted management methods to strive for quick short-term profits, which makes it difficult for the company to carry out long-term operations and retain good teachers and customers. In this paper, the service quality of Internet online education products is discussed as the main content, starting from the content, community-based service quality and after-sales service, analyzing the status quo and making suggestions. In the end, through case study and argumentation, it is concluded that the company needs to improve the diversity of the company's products, improve the quality of community service, as well as build up the specific after-sales service standards of online education products and the division of responsibilities, so that the quality of the Internet online education product service can be effectively improved.

The Future of Work: A Comprehensive Study of the Gig Economy Beyond Low Labor-Value Added Jobs

Traditionally, firms face many challenges with employment: Geographical discrepancies, inefficient talent sourcing methods, accessibility, and, more recently, COVID-19. As a result, the gig economy, or the freelance economy, has become increasingly popular as a method of employment after the pandemic. This type of business model is proliferating due to its easy accessibility, along with environmental factors, such as the pandemic and social factors, such as the trend of digitalization in developing countries. This new model also brings many benefits to gig workers, including an easier pathway to employment and globalization, consumers, bringing them a wide array of services on an accessible platform, and corporations, helping them source talent and solve resource allocation issues. Yet, many corporations and industries are still in the early stage of utilizing gig workers, or refuse to outsource gig talent, because of social perceptions, skill set mismatches, and technical inefficiencies. In this paper, empirical analysis of the platform's fundamental components, challenges with society, and outlook is presented along with a relevant case study and a recommendation for a potential future development of the gig economy.