WHY BUSINESS

MODELS MATTER
Muhammad Usama Yousuf
Entrepreneurship

WHY BUSINESS MODELS
MATTER

Buzzwords

You didnt need a strategy, or a special competence,
or even customers all the business needed was a
model that promised wild profitability
WHY BUSINESS MODELS
MATTER
What did it generate
GBF
Venture capital
IPO success
Inflationary salary and bonus trends
Criminals Enron, Adelphi, World Com

WHY BUSINESS MODELS
MATTER
Creating a business model is a lot like writing a new
story.

New stories are actually the old version revised

Business models are versions of the generic value chain
which has two parts
Making and Selling something
WHY BUSINESS MODELS
MATTER

International business model the same as the local one?

Can a business model be changed on a rolling basis.

Models needs to pass two tests:
The Narrative test (Priceline groceries and gas)
The Numbers Test (Webvan groceries)

Walmart


WHY BUSINESS MODELS
MATTER
Target
Strategy
Style
Fashion


Dell Computers
JIT, direct business model, made-to-order