Lecture 1 (?) Flashcards
What are the 4 business models
- Razors and blades model
- Freemium model
- bricks-and-clicks model
- franchising model
What is Razors and blades model
a pricing strategy in which one offering is sold
at a low price (or given away for free) to facilitate sales of a complementary
offering
What is Freemium model
promotion strategy in which a basic version of the offering is given away for free to encourage users to upgrade to a paid version
What is bricks-and-clicks model
distribution strategy that integrates both offline (bricks) and online (clicks) channels
What is franchising model
strategy of adopting (leasing) an already existing business model
What is strategy
outlines the ways in which an offering will create value for the relevant participants
What is tactics
set of activities employed to execute a given strategy by designing, communicating, and delivering specific market offerings
Tactics 7 elements
- Product
- Service
- Brand
- Price
- Incentives
- Communication
- Distribution
What is a top-down business model
Strategy → Tactics
What is a bottom-up business model
Tactics → Strategy
The 5 C’s
- Customers
- Company
- Collaborators
- Competitors
- Context
What is Optimal value proposition (OVP)
value is balanced between company, customers and collaborators
