3b Types of business models Flashcards
What are the 6 types of business models?
Online business Bricks and mortar social enterprise Franchise Importer Exporter
what is a business model?
A business model is a plan that identifies how the business will operate to make a profit.
What is online business?
An online business is a business model that trades its goods and services via the internet.
Example of online business?
eBay is an online marketplace that sells a variety of products from many different people and businesses.
What is bricks and motars?
Bricks and mortar is a business that has a physical store presence.
What is clicks and motars?
Clicks and mortar is a type of business model that has a physical store presence as well as an online existence
What is a social enterprise?
A social enterprise is a business model that aims to fulfil a community or environmental need by selling goods or services.
What is a franchise?
A franchise is a business model that grants another person the right to operate under their name, use its business systems and sell its goods and services.
What is a franchisee, franchisor, and franchise agreement?
A franchisee is an individual outside of the business that has bought the rights to operate under the name of an existing business and sell their goods and services.
A franchisor is the owner of the original business idea who permits another individual to use its name and sell its products for a fee.
A franchise agreement states the obligations and responsibilities of
the distribution of the business name and products.
What is an importer?
An importer purchases goods and services from overseas and sells them in their home country
What is an exporter?
An exporter produces goods and services in their home country and sells them to overseas buyers.
