What is Business Model Innovation? MAY 25D TERM 1 WEEK 8

What is the definition of Business Model Innovation?

• A fundamental change in how a company delivers value to customers (Chesbrough, 2010).

• A minor adjustment to marketing strategies.

• A focus solely on increasing production efficiency.

• A temporary change in leadership structure.

What are the key components of Business Model Innovation?

• Value proposition, revenue model, and cost structure form the core elements.

• Marketing strategy, employee benefits, and office location are the main factors.

• Customer service, product packaging, and delivery speed are the primary components.

• Brand logo, website design, and social media presence are the essential elements.

What is the strategic advantage of Business Model Innovation?

• Enables companies to create unique competitive positions that are hard to replicate.

• Reduces the need for any market research.

• Guarantees immediate financial success.

• Eliminates the need for product development.

In the Business Model Canvas, the question 'Who are we creating value for?' refers to which component?

• Customer Segments

• Revenue Streams

• Key Resources

• Channels

In the Business Model Canvas, the question 'What value do we deliver to customers?' refers to which component?

• Value Proposition

• Customer Segments

• Channels

• Revenue Streams

In the Business Model Canvas, the question 'How do we reach our customers?' refers to which component?

• Channels

• Revenue Streams

• Key Partners

• Customer Segments

In the Business Model Canvas, the question 'How does the business earn money?' refers to which component?

• Revenue Streams

• Key Activities

• Customer Segments

• Channels

In the Business Model Canvas, the question 'What assets are indispensable?' refers to which component?

• Key Resources

• Customer Segments

• Revenue Streams

• Channels

Fill in the blank: In the Add-on Model, Ryanair charges separately for priority boarding, luggage, and _____

• food

• entertainment

• wifi

• seat selection

Which company is given as an example of the Freemium Model, offering free service with ads and premium paid subscriptions without ads?

• Ryanair

• Spotify

• Gillette

• Dollar Shave Club