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Propose New Business Model Patterns to Describe and Discuss
The term pattern comes from architecture and stands for the idea of capturing architectural design ideas as archetypal and reusable descriptions. In Business Model Generation we tried to do the same for business models: we described archetypal business models by using the Business Model Canvas as a shared language.
In Business Model Generation we limited ourselves to sketching out five business model patterns built on important concepts in the business literature. Of course, many more business model patterns are imaginable.
To qualify as a business model pattern a business model should have similar...
- characteristics
- business model building blocks (e.g. the same key activities, resources, etc.)
- arrangements of business model building blocks (e.g. the same combination of revenue streams, customers, and value propositions)
- behaviors
Which business model patterns should we try to describe and discuss on the Business Model Innovation Hub?
Replies to This Discussion
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Permalink Reply by Gert Steens on -
The Monitor Group described MARKET-BASED SOLUTIONS TO THE CHALLENGES OF GLOBAL POVERTY in its report Emerging Markets, Emerging Models (on slideshare: ).
I experimented with BMDesigner on the first of the Monitor models: pay-per-use, here
It may be interesting to draft a canvas for each of the five Monitor models?
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Permalink Reply by Deborah Mills-Scofield on -
So pay-per-use could be for anything? e.g., a local 'telephone' service (e.g., cell phone), a village washing machine, refrigeration, etc.? did you have a specific 'thing' in mind? this is very cool and has been used in some areas already (e.g., the woman in a village with a pay-per-use cell phone for the village) - but it could be expanded...in some ways it's also a bit like zip-cars.
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Permalink Reply by Erwin Fielt on -
Thanks Gert, very interesting.
I would like to use this also to express my interest in contributing to future work on the hub that targets emerging markets in particular and than I am thinking of a two way process, what can they learn from business models in more developed markets and what can developed markets learn form new emerging models. In geographical term, I would like to target Sri Lanka as I have some personal and work contacts there.
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Permalink Reply by Gert Steens on
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Link appears not to work for everyone. This one should be better.
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Permalink Reply by Gert Steens on
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Here is the pdf of Monitor's report.
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Permalink Reply by Erwin Fielt on
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Business models for integrated solutions
I recently made a first draft of a business model for "integrated solutions" based on 'Charting a Path Toward Integrated Solutions' (Davies, Brady & Hobday, 2006). See also here for more.
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Permalink Reply by Diego Rodriguez Bastias on -
For instance, I would like to propose for discussion, the business model patterns that small communities have, like the ones we can find in small farmers markets, or fishing communities, many of whom are being closed or disappearing, so its kind of a sustantability issue. How can we give those communities a new business model scenario? perhaps they can compete through tourism and not selling products a the lowest price? what is the value proposition this small communities have to offer?
I guess it could be interesting to hava a look at this
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Permalink Reply by Chad Lockart on -
Take Madison WI as an example. From Spring to Fall the Madison Farmers Market spans the Capitol Square. Thousands of people come from as far as Chicago for the market. The market is a big draw to the city. One of the biggest aspects is a sense of community in shared space. Since the market is around the state capitol it is conceptually about democracy, bringing all aspects of daily life together every saturday. There is a wide range of price points for goods as well as margins. Also political interests and street performers and weekend festivals such as Art on the Square. The point isn't the sale of the product (though it is for the vendors) it is about selling Madison as a destination and one of the most livable cities in the US. For the city of Madison the weekly farmers market is a spectacle that defines the very nature of the town. It is a big reason that some many people choose to call Madison home. Quality of life has kept the Madison area housing market fairly stable, is a huge draw for prospective students who attend the University of Wisconsin and must be one of the reasons that Madison can command a premium for property tax.
Patterns for small communities should revolve primarily around quality of life. This involves social models as well as business models working in tandem. The value proposition that small communities have to offer, in the US, are about shared identity (who are we and is this compelling to others), democracy (how people come together to define a shared vision for the future) and quality of life (how do services support a sense of community that translates into a dreamy utopia that others want to be a part of or experience). The sense of community imo hinges on a community supporting reoccuring events...events like the farmers market are consistent and can be counted on...if they are not consistent then nothing will build and transform. Time shapes experience!
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Permalink Reply by Norbert Herman on -
My experience with patterns comes from the technical world. I had to get well acquainted with the use of paterns and anti-patterns during my Enterprise Architecture Certification Process at IBM so that I could know when to apply or avoid possible building fundamentals in the crafting of a solution. I see a lot of similarities between the possibility of having business model canvas patterns with that of technical patterns. What is even more interesting is how these technical patterns got recognized, documented, communicated and adopted by the architects on a wide scale. As with most things, there was a "tipping point" in this process, but there are some strong similarities and lessons learned that we can use towards evolving the business model canvas community knowledge towards a standard set of patterns that can help us get the fundamental components of a model in place thus setting us on the right track for the creative aspects of the rest of the model.
Here is a link from TOGAF that provides info on technical and business patterns - http://www.opengroup.org/architecture/togaf8-doc/arch/chap28.html. The IBM patterns are mentioned at this link, but the history of how technical patterns evolved is widely published in books and on the web. Do you also see such evolution possible for the business model canvas patterns? Have you come across initiatives that can contribute to such an idea?
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