Business model of amazon pdf

It assists firms in aligning their activities business model of amazon pdf illustrating potential trade-offs. Since the release of Osterwalder’s work in 2008, new canvases for specific niches have appeared. Formal descriptions of the business become the building blocks for its activities.

Key Activities: The most important activities in executing a company’s value proposition. An example for Bic, the pen manufacturer, would be creating an efficient supply chain to drive down costs. Key Resources: The resources that are necessary to create value for the customer. They are considered an asset to a company, which are needed in order to sustain and support the business. These resources could be human, financial, physical and intellectual. Partner Network: In order to optimize operations and reduce risks of a business model, organization usually cultivate buyer-supplier relationships so they can focus on their core activity.

Complementary business alliances also can be considered through joint ventures, strategic alliances between competitors or non-competitors. The collection of products and services a business offers to meet the needs of its customers. Customer Segments: To build an effective business model, a company must identify which customers it tries to serve. Various sets of customers can be segmented based on the different needs and attributes to ensure appropriate implementation of corporate strategy meets the characteristics of selected group of clients. Mass Market: There is no specific segmentation for a company that follows the Mass Market element as the organization displays a wide view of potential clients. Niche Market: Customer segmentation based on specialized needs and characteristics of its clients.