How Do You Compare A Business Model With A Competitive Strategy?
A business model is the method a business uses to generate revenue through the sale of its products or services. A competitive strategy focuses on how a business will systematically compete and (hopefully) gain an advantage in the market. At times, the two terms can overlap as selecting the right business model could provide a strategic competitive advantage. Comparing a business model with a competitive strategy requires more in-depth observation. Compose a 2 to 3 sentence statement describing how your company establishes value in its product or service and how it is delivered to the consumer. This statement will define the business model. For example, does your company operate sell products auction style, network sales, or a franchise? Does your company “cut out the middle-man,” operate solely online, or seek to dominate a local market with a neighborhood loyalty business model? These are a few examples of the many different types of business models. Each business model depicts how t
