Winning companies owe their success to a business model that effectively creates and captures value. When organizations link a business model to new technologies to meet an emerging market need, they can disrupt the market and drive transformative growth.
Companies must understand how the structure of their industry might change and analyze whether theircurrent model is fit to withstand disruption. This often requires them to sustain the current model while simultaneously enabling innovation in preparation for the future.
Leaders who use strategic analyses and frameworks to rethink their business models and accurately predict the impact of shifts will be more effective in driving breakthrough change. These leaders need to rethink their firm's customer value proposition, profit formula, key resources, and key processes in light of the direction they believe the market is moving.
New technologies can be used to better enable organizations to deliver what the marketplace wants. These technologies offer advantages like greater personalization, cost reductions through asset sharing, and real-time adaptations. Companies that use new technologies to create more compelling value propositions can transform their business model.
