Business model is the blood that enables the central nervous system of business to function. Just as the biological nervous system is made up of the brain and the spinal cord, business is built on purpose and structures to accomplish the purpose. Without the blood, the biological nervous system fatally breaks down; without a business model, a disconnection emerges between a business purpose and the resources earmarked to accomplish it.
Across markets and territories, the success of firms is entwined with their strategies, and business model is at the heart of any business strategy. If your business model is built on oscillatory pendulum and rollercoaster, with elements of guesswork everywhere, the forces of market will consume your purpose, denying you the momentum to overcome and fix the market friction – the very essence you are in business.
..writing Week 3 lecture materials of Tekedia Mini-MBA and this week bringing biology; we’ve done a lot of physics already! Join us today.