Business Modeling

Week wise Content and Class Activities

Semester Project:

Students will work in teams to design a comprehensive and innovative business model for a startup or an existing organization seeking transformation. The project will require applying all frameworks and methodologies covered in the course such as the Business Model Canvas, Value Proposition Canvas, data-driven analytics, and risk/scalability analysis while integrating case study insights.

Key Deliverables:

1. Business Model Canvas (BMC): Full mapping of the proposed model.
2. Value Proposition Canvas: Identification of customer segments, needs, and value creation.
3. Revenue Model Plan: Pricing, revenue streams, and financial sustainability.
4. Operational Blueprint: Logistics, supply chain, technology integration.
5. Risk and Scalability Analysis: Identify risks and strategies to manage growth.
6. Data-Driven Dashboard: Simple KPI tracking sheet (Excel).
7. Final Presentation: 15-minute investor-style pitch with Q&A.

Timeline & Milestones:

Grading Policy

Quizzes                       10%

Project                        10%

Case Presentation       5%

Class Participation     25%

Mid Term                    15%

Final Exam                 35%

Week 1: Introduction to Business Models & Case Methodology

• Concepts: Definitions, history, components of business models, importance in strategy and innovation.
• Case Methodology: Origins at Harvard, Socratic learning, active discussion.
• Theoretical Content:
  • Business Model Theory (Teece, 2010)
  • Strategic Management Theories (Mintzberg’s schools of thought)
  • Case Study Method (Yin, 2003)

Week 2: Value Proposition Design

• Concepts: Customer segmentation, jobs-to-be-done, pain relievers, gain creators.
• Theoretical Content:
  • Value Proposition Canvas (Osterwalder et al.)
  • Customer-Centric Design Thinking (IDEO model)
  • Kotler’s Segmentation-Targeting-Positioning (STP) framework

Week 3: Value Delivery Mechanisms

• Concepts: Delivery channels, supply chain coordination, customer journey mapping.
• Theoretical Content:
  • Operations Management Theory
  • Channel Strategy Models
  • SCOR Model (Supply Chain Operations Reference)

Week 4: Value Capture & Revenue Models

• Concepts: Monetization strategies, cost structure, pricing, bundling, revenue diversity.
• Theoretical Content:
  • Revenue Model Frameworks (subscription, pay-per-use, licensing)
  • Profit Model Canvas
  • Porter’s Five Forces (Profitability Analysis)

Week 5: Business Model Canvas (BMC)

• Concepts: Mapping all nine building blocks of a business model.
• Theoretical Content:
  • Business Model Generation (Osterwalder & Pigneur, 2010)
  • Systemic thinking in business model innovation
  • Lean Startup Principles (Ries, 2011)

Week 6: Porter’s Value Chain & Competitive Advantage

• Concepts: Identifying value-added activities, cost vs. differentiation strategies.
• Theoretical Content:
  • Porter’s Value Chain
  • Generic Strategies (Cost Leadership, Differentiation, Focus)
  • Resource-Based View (RBV)

Week 7: Platform-Based Ecosystems

• Concepts: Multi-sided markets, indirect network effects, platform governance.
• Theoretical Content:
  • Platform Economics Theory
  • Network Effect Theory (Katz & Shapiro)
  • Ecosystem Strategy (Moore’s Ecosystem Model)

Week 8: Mid-term Project Presentation

• Activity: Application of Weeks 1–7 through student presentations.
• Theoretical Reinforcement: Feedback using applied theory from previous weeks.

Week 9: Subscription & Freemium Models

• Concepts: Tiered pricing, user acquisition, customer lifetime value (CLV).
• Theoretical Content:
  • Freemium Economics (Anderson, 2009)
  • Customer Acquisition Cost (CAC) vs. CLV
  • Retention & Churn Models

Week 10: Disruptive Business Models

• Concepts: How innovations transform industries by serving underserved markets.
• Theoretical Content:
  • Disruptive Innovation Theory (Clayton Christensen)
  • Innovator’s Dilemma
  • Technology Adoption Life Cycle

Week 11: Servitization & Product-as-a-Service

• Concepts: Shift from ownership to usage, lifecycle services.
• Theoretical Content:
  • Servitization Theory (Baines et al.)
  • Product Service System (PSS) Theory
  • Outcomes-Based Business Models

Week 12: AI-Driven Business Models

• Concepts: Data monetization, intelligent automation, decision augmentation.
• Theoretical Content:
  • AI in Business Model Innovation (Iansiti & Lakhani, 2020)
  • Predictive & Prescriptive Analytics frameworks
  • Digital Transformation Theory

Week 13: Data-Driven Decision-Making in Business Models

• Concepts: KPIs, business dashboards, metrics alignment.
• Theoretical Content:
  • Balanced Scorecard (Kaplan & Norton)
  • Performance Management Systems
  • Data Strategy Frameworks

Week 14: Risk Analysis & Scalability Challenges

• Concepts: Market uncertainty, operational bottlenecks, scale-up issues.
• Theoretical Content:
  • Risk Management Frameworks (ISO 31000)
  • Scalability Theory
  • Scenario Planning Models (Schoemaker)

Week 15: Student Case Presentations

• Activity: Applying theories, models, and tools from across the course.
• Focus: Evaluation, synthesis, and critical analysis using learned theoretical frameworks.

Week 16: Final Project Presentations & Wrap-Up

• Deliverable: New or improved business model showcasing theory-to-practice linkage.
• Wrap-Up: Reflection using:
  • Business Model Innovation Lifecycle
  • Blue Ocean Strategy Concepts
  • Strategic Alignment Models