The term “business model” often describes the proﬁt formula used by the company to generate its income. However, we have seen ﬁt to increase the scope of the term business model beyond proﬁt model to include how the company delivers value to the customer and, subsequently, how the company organizes resources and processes to support both its proﬁt model and customer value propositions. External interactions with its value chain and end customers are also part of an overarching business model.
Authors: Clayton M. Christensen, Mark Johnson
Subject: Business Model