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CCT 355: E-Business Technologies Class 6: B2B/B2C and Transaction Processing.

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Presentation on theme: "CCT 355: E-Business Technologies Class 6: B2B/B2C and Transaction Processing."— Presentation transcript:

1 CCT 355: E-Business Technologies Class 6: B2B/B2C and Transaction Processing

2 Administration Case study returned at break – thoughts Hand in change management simulation Groups for final project – proposal to keep you on track due next week (more of a brainstorming/notes document than anything formal)

3 Business and Design Martin’s notion of design thinking – design as the new value add Pink – in an age of abundance, automation and Asia (alliteration!) designing for want, not need, is key MFAs as the new MBA? Florida – creative class careers essential for a vibrant economy – creative class as global, interconnected, mobile, diverse (e.g., Florida’s “gay hypothesis”)

4 Business Model Generation Some core notions of business concepts are still important Nine core components noted in book All impacted by changes in technology Changes in one iterate among others – model as systemic vs. isolated units Applies to all sorts of domains – case studies in book are interesting to look at

5 Customer Segments For whom are we creating value? Who are our most important customers? Mass and niche markets Segmentation and diversification

6 Value Propositions What value do we offer? What problems are we trying to solve? Range of options – newness, performance, customizability, design/usability, status, price, risk reduction, etc. Whatever the decision is focuses the business’ direction – should tie to customer segments

7 Channels Linking value proposition to customer segments How are channels integrated? Which work best? Channel phases – awareness, evaluation, purchase, delivery, after sales support Outsourced or in-house?

8 Customer Relationships Expectations and management of relationship What’s established? At what cost? From “high touch” services and communities to automated/self-service – different demands and expectations

9 Revenue Streams How much are customers willing to pay? How do streams combine into overall revenue? Different models exist – sale of tangible goods, usage fee, subscriptions, licensing, brokerage fees, advertising, etc. Dependent on existing revenue stream practices – hard to monetize something that’s free elsewhere!

10 Key Resources What resources are required to meet value propositions? Distribution? Revenue streams? Relationships? Physical, intellectual, human and financial resources

11 Key Activities What actions realize value propositions? Production, problem solving, networking/connections, etc Efficiency and effectiveness of activities towards key value propositions

12 Key Partnerships Who are are partners/suppliers? How does their model mesh with us? Strategic alliances, “cooptition”, joint ventures, established relationships (and exclusivity) Concerns about scale and risk

13 Cost Structure What are the most important costs involved? Which resources are the most valuable? Fixed/variable costs and economics of scale Cost or value driven? Transactional and resource-based models of business

14 Patterns, Design, Strategy, Process Different patterns are evident in mix of core nine components These patterns are not accidental, but rather designed – many core components of design thinking come into play Business model (re)generation – very similar in kind to change management process – change causes concern in many domains that needs to be addressed

15 Weekly Assignment A brick and mortar specialty chocolate store abandons its storefront and moves to online sales What changes in the nine core components might occur? (Obviously you can take the week on this one…no right answer, just point form notes will do.)


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