business model
Company profit plan
A business model is the way a company makes money—specifically, how it creates value and captures revenue.
Their business model depends on advertising rather than subscriptions.
The term became ubiquitous during the dot-com era, when startups needed to explain how they'd eventually turn a profit.
Different industries have characteristic models: subscription, freemium, franchise, marketplace.
We need to rethink our business model.
Legally separate business entity
- startupNew business enterprise
- SMEExpert in specific field
- franchiseLicensed business operation
- subsidiaryOf lesser importance
venture · partnership · B2B · B2C · nonprofit · unicorn · brick-and-mortar · e-commerce
Converting something into revenue
- subscriptionPaid recurring access
- freemiumHybrid monetization approach
- advertisingPaid promotional communication
- licensingGranting official permission
commission · marketplace · pay-per-use · affiliate · usage-based · recurring · one-time · premium
Detailed technical drawing
- architectureBuilding design discipline
- templatePreset pattern for reproduction
- structureArrangement of interconnected parts
- schemaOrganized representational structure
methodology · paradigm · design · typology · matrix · outline · roadmap · approach
Recognizing meaningful differences
- positioningArranging in specific locations
- segmentationDivision into sections
- diversificationExpanding into varied areas
- pivotPoint of rotation
scaling · expansion · acquisition · blue-ocean · disruption · first-mover · platform · ecosystem
Forming a closed curve
- ethicalConforming to moral principles
- stakeholderParty with an interest
- ESGCorporate responsibility framework
- carbon-neutralNet-zero emissions state
regenerative · inclusive · mission-driven · green · zero-waste · cradle-to-cradle
corporation
Legally separate business entity
subsidiary · venture · partnership · B2B · B2C · nonprofit · unicorn · brick-and-mortar · e-commerce · scale-up
monetization
Converting something into revenue
- subscriptionPaid recurring access
- freemiumHybrid monetization approach
- advertisingPaid promotional communication
licensing · commission · marketplace · pay-per-use · affiliate · usage-based · recurring · one-time · premium · ad-supported
blueprint
Detailed technical drawing
- architectureBuilding design discipline
- templatePreset pattern for reproduction
- structureArrangement of interconnected parts
schema · methodology · paradigm · design · typology · matrix · outline · roadmap · approach · canvas
differentiation
Recognizing meaningful differences
- positioningArranging in specific locations
- segmentationDivision into sections
- diversificationExpanding into varied areas
pivot · scaling · expansion · acquisition · blue-ocean · disruption · first-mover · platform · ecosystem · synergy
circular
Forming a closed curve
- ethicalConforming to moral principles
- stakeholderParty with an interest
- ESGCorporate responsibility framework
carbon-neutral · regenerative · inclusive · mission-driven · green · zero-waste · cradle-to-cradle
- entrepreneurshipentrepreneur, startup, founder, co-founder, cofounder
- business planexecutive summary, financial projections, market analysis, mission statement, competitive advantage
- business strategystrategy, competitive advantage, market share, profitability, differentiation
- pitch deck slidestitle slide, market size, traction, financials, cover slide
- consultingconsultant, strategy, consultants, consulting, advisory
- business financeaccounting, balance sheet, revenue stream, profit margin, budget
business modelcharitable mission
Organized endeavor to help
philanthropy · public service · volunteer organization · gift economy · charitable organization
business modelimprovisation
Spontaneous, unplanned creation
winging it · flying by the seat of your pants · chaos · disorganization · hobby
business modelPonzi scheme
Fraudulent returns from newcomers
pyramid scheme · money pit · cash burn · bankruptcy · insolvency
model, business, businessman, businesslike, businesses, businesswoman, businessperson, busyness, businessmen