Business Models for Dummies author interview
The thing that was the backdrop to writing this book Business Models for Dummies?
• Saw lots of smart people struggling
• Not so smart people succeeding and asked why
Business Models for Dummies author interview
You apply the term business structure. What is a business model?
• A business model will be the proprietary method utilized to acquire service and retain customers.
• Profit formula…….the method that you make money
o American airlines vs. SW
o NFL vs. minor league baseball
o Movie studios today vs. Fifty years ago
How come comprehending the concept of the business model important?
• You can’t outsmart, outhustle, or outmaneuver an inadequate business structure
• Hard work goes unrewarded
• Do you think the people at Kodak, Blackberry, or Blockbuster didn’t work hard……
How's a small business model different from the familiar strategic business plan?
• Ideally, a small business model is part of the business enterprise plan
• Plan says how you will execute the model
How come having a business model critical for business success?
• You get one whether it’s planned or otherwise
If your business person decides to create and begin a business structure, just how do they start?
• Business model wheel www.businessmodelwheel.com
• Offering
o Unserved or underserved markets
o How is yours diff
• Monetization
o Various revenue streams
o How make superior margins
• Sustainability
o How deep is your moat
o How long will it last
o How and what are you going to innovate
How can the business develop a profitable business?
• Start using the wheel
• Unserved or underserved
• Different is usually better than better
• Virtually no one thinks new/unusual ideas are good
Many great plans have established yourself but they never seem to last. Things alteration of the company, industry or even the economy, and the plans go out your window. How can a company model be created to last?
• Usually it can’t. Business models go stale….examine Microsoft
• Innovation from the model is paramount. IBM is a superb example
Just how can a small business person analyze their business design for grading its success?
• Business model wheel
• BQ
How do a company person note that their business structure has stopped being competitive with before?
• Trying too much
• Slow or no growth
• BQ
Are available warning signs that could indicat hidden conditions that need changing to the newest conditions?
• Margin erosion (Apple interesting study)
• New technology
• Hot topic now could be unrelated competitive pressure (cell phone camera, iPhones cutting into dining and clothing budgets)
Answer is to be innovating
One of the strengths which you describe for that business design is its power for innovation. How come the business model so great for innovation?
• The business model may be the core of profitability. If you can out-innovate your company model, you have a significant competitive advantage. Take Wal-Mart; in 1980 they sold the identical merchandise as everybody else. What did they have, an improved business structure. Look at Blockbuster; they helped people enjoy movies in the home. So does Netflix and Redbox. Blockbuster may have bought Netflix for $60M early on or perhaps crushed them, however they did not innovate their model.
How do the innovation process be started?
• Start with a clean slate. Don’t modify your overall business and then try to transform it into a little better. That’s the way you get Blockbustered. Basically bought your business for 3 times greater than it’s worth generating you begin over, what sort of business can you create?
Business Models for Dummies author interview
One of the well known concepts today is disruptive innovation. Just how can the company plan use disruptive innovation?
• Clayton Christensen is not only among my favorite gurus, but his work on disruptive innovation is included heavily in section 6 of the business structure wheel- innovation factor.
• Short answer is Function as the disruptor
How can the business model help with revenue and sales generation?
• It can help a great deal
• Look on the airlines. For Thirty years they struggled to learn. By changing the model to at least one that nickel and dimes everything, they created new profitable revenue streams
• Starbucks and Nike realized these were lifestyle brands, not just coffee and shoe sellers and greatly expanded offerings and revenues
Is there a initial step a company person must take toward adopting a business model?
• They probably already have one
• If you don’t we have some great tools inside the book
• If you do, We have three of my favorite innovation techniques…..yes, it’s not just guesswork in the book
o Get inside the insurance business
o Sales Virtualization
o Embrace crowdsourcing
What exactly is next for Jim Muehlhausen?
• CBMA
• Business model expo
o Pairing business model experts and business owners to be effective together on innovation
• Saw lots of smart people struggling
• Not so smart people succeeding and asked why
Business Models for Dummies author interview
You apply the term business structure. What is a business model?
• A business model will be the proprietary method utilized to acquire service and retain customers.
• Profit formula…….the method that you make money
o American airlines vs. SW
o NFL vs. minor league baseball
o Movie studios today vs. Fifty years ago
How come comprehending the concept of the business model important?
• You can’t outsmart, outhustle, or outmaneuver an inadequate business structure
• Hard work goes unrewarded
• Do you think the people at Kodak, Blackberry, or Blockbuster didn’t work hard……
How's a small business model different from the familiar strategic business plan?
• Ideally, a small business model is part of the business enterprise plan
• Plan says how you will execute the model
How come having a business model critical for business success?
• You get one whether it’s planned or otherwise
If your business person decides to create and begin a business structure, just how do they start?
• Business model wheel www.businessmodelwheel.com
• Offering
o Unserved or underserved markets
o How is yours diff
• Monetization
o Various revenue streams
o How make superior margins
• Sustainability
o How deep is your moat
o How long will it last
o How and what are you going to innovate
How can the business develop a profitable business?
• Start using the wheel
• Unserved or underserved
• Different is usually better than better
• Virtually no one thinks new/unusual ideas are good
Many great plans have established yourself but they never seem to last. Things alteration of the company, industry or even the economy, and the plans go out your window. How can a company model be created to last?
• Usually it can’t. Business models go stale….examine Microsoft
• Innovation from the model is paramount. IBM is a superb example
Just how can a small business person analyze their business design for grading its success?
• Business model wheel
• BQ
How do a company person note that their business structure has stopped being competitive with before?
• Trying too much
• Slow or no growth
• BQ
Are available warning signs that could indicat hidden conditions that need changing to the newest conditions?
• Margin erosion (Apple interesting study)
• New technology
• Hot topic now could be unrelated competitive pressure (cell phone camera, iPhones cutting into dining and clothing budgets)
Answer is to be innovating
One of the strengths which you describe for that business design is its power for innovation. How come the business model so great for innovation?
• The business model may be the core of profitability. If you can out-innovate your company model, you have a significant competitive advantage. Take Wal-Mart; in 1980 they sold the identical merchandise as everybody else. What did they have, an improved business structure. Look at Blockbuster; they helped people enjoy movies in the home. So does Netflix and Redbox. Blockbuster may have bought Netflix for $60M early on or perhaps crushed them, however they did not innovate their model.
How do the innovation process be started?
• Start with a clean slate. Don’t modify your overall business and then try to transform it into a little better. That’s the way you get Blockbustered. Basically bought your business for 3 times greater than it’s worth generating you begin over, what sort of business can you create?
Business Models for Dummies author interview
One of the well known concepts today is disruptive innovation. Just how can the company plan use disruptive innovation?
• Clayton Christensen is not only among my favorite gurus, but his work on disruptive innovation is included heavily in section 6 of the business structure wheel- innovation factor.
• Short answer is Function as the disruptor
How can the business model help with revenue and sales generation?
• It can help a great deal
• Look on the airlines. For Thirty years they struggled to learn. By changing the model to at least one that nickel and dimes everything, they created new profitable revenue streams
• Starbucks and Nike realized these were lifestyle brands, not just coffee and shoe sellers and greatly expanded offerings and revenues
Is there a initial step a company person must take toward adopting a business model?
• They probably already have one
• If you don’t we have some great tools inside the book
• If you do, We have three of my favorite innovation techniques…..yes, it’s not just guesswork in the book
o Get inside the insurance business
o Sales Virtualization
o Embrace crowdsourcing
What exactly is next for Jim Muehlhausen?
• CBMA
• Business model expo
o Pairing business model experts and business owners to be effective together on innovation