Introducing Data-driven Business Models
IN THIS CHAPTER
Describing what a business model is
Sorting out the fundamentals of a data-driven business model
Using a framework for data-driven business models
The increased use of data is transforming the way companies do business. With advanced analytics, machine learning, and access to new data sources, companies in one sector can play a role in the products and services of others — even those far removed from their traditional line of business. This blurs the boundaries between industries and changes competitive dynamics. Companies that embrace the full range of opportunities and transform their business models in parallel with these shifts will find new opportunities for revenue streams, customers, products, and services. In this chapter, I describe how you can approach the area of data-driven business models.
Defining Business Models
First you need a working definition of a business model. It’s generally described as the foundation of how an organization creates, delivers, and captures value in economic, social, cultural, or other contexts. The process of business model construction and modification, also called business ...