The most important component in a business is its Business Model. A business model is the logic of a firm and encapsulates how a company will capture value. Board of companies hire CEOs and Executive Management for one main responsibility: design and commit a business to a model (or models), and capture value from the process.
Understand that you can have the same products and services but under the wrong business model, value may remain unlocked. When a great leader emerges as a CEO, great things happen. Magically, a business which was losing money will start making money; what happened was that a new leader came, and changed the logic of the firm via a new business model.
In the Harvard Business Review, I dropped these lines: “More and more startups are popping up, offering customers new services and products that save them money. And while their offerings are attractive, they have one shortfall: They don’t capture value for the company.” I was asking for a winning business model there.
Ladies and Gentlemen, Air Peace is going through an evolution and a revolution, and could become a really GREAT company. Over the last few weeks, it pioneered the construct that a person traveling from Owerri (and some other airports in Nigeria) to London, can begin the journey from Owerri as an international traveler. Yes, you do not need to start it in Lagos, which would have forced you to waybill your bags to Lagos, causing so much stress along the way.
It did not stop there, it is now pioneering FLY NOW, PAY LATER. Simply, you can fly on credit. I posit that one fintech company is doing this in partnership with Air Peace. So, they will run basic credit checks, and then make the calls. Air Peace will get the money while the fintech will be responsible for collecting the funds.
Business model – and Air Peace is winning the sky in Nigeria. It is the category-king, and we’re seeing why it can fly further and farther.
