Lecture8

Question 1

Traditional Business Model: Core Elements

Answer 1

1. Value Proposition: Which problem are you solving? How are you going to do this in
a unique way? (e.g. cutting-edge technology and design) Solve problems uniquely.
2. Customer Interface: What is your target market? How are you connecting to your
customer? (e.g. brand identity & customer service) Target market & connection.
3. Value Chain: How are you moving your products from the suppliers to your
customers? (e.g. cost-effective sourcing) Move products from suppliers to customers.
4. Financial Model: How do you generate revenue? Who is going to pay for it? (e.g.
selling devices (‘for free’) & applications) Revenue generation.

Question 2

Outcome of Traditional Business Model

Answer 2

Positive: Financially very successful
Negative: Sustainability challenges
- Excessive resource use
- High energy footprint from large-scale manufacturing
- Electronic waste due to frequent replacement (substitution)
- Social impact: Poor social working conditions

Question 3

Sustainable Business Model: Core Elements

Answer 3

1. Sustainable Value Proposition: Add ecological & social value (e.g., repairable electronics)
2. Stakeholder Interface: Encourage responsible consumption (e.g., customer interaction, awareness, community)
3. Circular Value Chain: Transparent, fair supply chain with end-of-use cycle = collected and recycle etc..
4. Financial, Natural & Social Model: Reflect social/ecological costs (e.g., social enterprise reinvestment (invest profits into mission))

Question 4

What means doing well?

Answer 4

Achieve financial success

Question 5

What means doing good?

Answer 5

Positive impact to society, environment

Question 6

Doing well and good =

Answer 6

both combined
personal or organizational well
social, environmental good