Business Model: Basic Definition You Should Know
Posted: Wed Dec 04, 2024 6:34 am
There is a possibility that the creation of the plan and all Business Development is a response to a need to renew your model.
If so, it is vital that you first have a clear idea of the new path that the company will take. With this, you can begin to develop actions and strategies in support of that approach.
This is why the Business Model is so closely related to the Business Plan. They are two israel whatsapp mobile phone number list components that point in the same direction: how to drive the company forward.
A Business Model is the way in which a company gives its raw material added value to attract its customers. In other words, it is the form or method with which the company markets.
There are many types and styles of Business Models that exist, and these have a lot to do with their market, environment and target audience.
The choice of a suitable Business Model for your company will depend on all these factors, in addition to the field and sector in which you operate.
It doesn't matter if your company continues with the same Business Model it started with, or if it is implementing a new one. It must be well defined in order to move forward with the process and ensure a good focus on the Business Plan .
Types of Business Model: Learn about the most used ones in Latin America
As we mentioned before, Business Models respond to many variables in their environment and sector. That is why it is not surprising that there are some that are more popular in certain areas.
Latin America is no exception to this rule. Here are some established models that are the most common, and that have certainly worked well for their companies.
If you want to know a little more about this and be able to guide your company correctly, here we tell you a little about the types of Business Models most used in Latin America:
Additives
Additive businesses are those where companies operate in a linear fashion and earn their revenue from direct transactions to customers. The main examples are companies that trade raw materials.
Due to their simple operation, they do not require trained personnel to operate. Therefore, their operating costs are usually not that high.
However, because they belong to a highly competitive sector, it is difficult for them to expand or grow exponentially in their indicators.
Multiplicatives
In Multiplicative businesses there are services and products with added value to the customer, which is why trained personnel are required for their correct promotion and offer.
For this model, the great capacity for expansion means that various branches and franchises are created to be able to serve all customers. And due to its large number of employees, it requires more complex organizational strategies.
This is one of the most common Business Models, but also the one that represents one of the greatest challenges in terms of costs and logistics.
Exponentials
This is the Business Model with the greatest impact and expansion. This is where large transnational companies are found, selling their products and services at all times and in all places.
If so, it is vital that you first have a clear idea of the new path that the company will take. With this, you can begin to develop actions and strategies in support of that approach.
This is why the Business Model is so closely related to the Business Plan. They are two israel whatsapp mobile phone number list components that point in the same direction: how to drive the company forward.
A Business Model is the way in which a company gives its raw material added value to attract its customers. In other words, it is the form or method with which the company markets.
There are many types and styles of Business Models that exist, and these have a lot to do with their market, environment and target audience.
The choice of a suitable Business Model for your company will depend on all these factors, in addition to the field and sector in which you operate.
It doesn't matter if your company continues with the same Business Model it started with, or if it is implementing a new one. It must be well defined in order to move forward with the process and ensure a good focus on the Business Plan .
Types of Business Model: Learn about the most used ones in Latin America
As we mentioned before, Business Models respond to many variables in their environment and sector. That is why it is not surprising that there are some that are more popular in certain areas.
Latin America is no exception to this rule. Here are some established models that are the most common, and that have certainly worked well for their companies.
If you want to know a little more about this and be able to guide your company correctly, here we tell you a little about the types of Business Models most used in Latin America:
Additives
Additive businesses are those where companies operate in a linear fashion and earn their revenue from direct transactions to customers. The main examples are companies that trade raw materials.
Due to their simple operation, they do not require trained personnel to operate. Therefore, their operating costs are usually not that high.
However, because they belong to a highly competitive sector, it is difficult for them to expand or grow exponentially in their indicators.
Multiplicatives
In Multiplicative businesses there are services and products with added value to the customer, which is why trained personnel are required for their correct promotion and offer.
For this model, the great capacity for expansion means that various branches and franchises are created to be able to serve all customers. And due to its large number of employees, it requires more complex organizational strategies.
This is one of the most common Business Models, but also the one that represents one of the greatest challenges in terms of costs and logistics.
Exponentials
This is the Business Model with the greatest impact and expansion. This is where large transnational companies are found, selling their products and services at all times and in all places.