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Business and Competitive Analysis: Effective Application of New and Classic Methods, Second Edition by Babette E. Bensoussan, Craig S. Fleisher

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9. Business Model Analysis

A business model has been defined as the “core logic by which a firm creates customer value.” Organizations that take leadership positions in their industries succeed by having an outstanding business model and executing it masterfully.

Business Model Analysis (BMA) provides the tools to quantify the relative strength of an organization’s business model to generate economic rents from a product or service. It acts as the link between the social domain, where economic rents are generated, and the creative domain, where products and services are conceptualized. With a detailed examination of the components of the business model, the analyst can determine what in particular makes one business model superior to another, ...

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