Your business isn t profitable?It s wrong from the business model!

Mondo Finance Updated on 2024-01-29

There are many companies in this world that make money by business models, such as Uber and Didi, which almost do not own taxis, but are the largest taxi companies in the market, and Alibaba, most of the goods sold on the market do not belong to Alibaba, but it does not prevent Alibaba from becoming the largest e-commerce platform in the country. These companies don't have a product, they make money on a pure business model, and that's the power of the business model.

Too many business owners only focus on pulling cars, regardless of looking up at the sky, and focus on products and services, but forget about consumer needs, let alone design a "business model" for their own business. It can be said that 99% of companies will only make money by the price difference of products, and all they earn is hard-earned money and hard-earned money.

Peter Drucker, a master of management, once said: "The competition between enterprises today is not the competition between products, but the competition between business models." From the early days of Wal-Mart and Amazon to the rise of Apple and Tesla in the new era, we all see the important role of business models in the growth of enterprises and changes in the competitive landscape. So what exactly is a business model?

When choosing a business model, you should first think about the following key questions:

1.Who is your target group?Identify your target market or customer group and understand their needs and preferences in order to provide them with a valuable product or service.

2.What is your product or service positioning?Determine how your product or service positions itself in the market, including unique selling points and competitive advantages.

3.How much do you earn?Clarify where the funds come from, including the sale of products, subscription models, advertising revenue, etc.

4.What's your cost structure?Understand operating, fixed, and variable costs, and design a business model to ensure profitability.

5.What's your partnership like?Consider relationships with vendors, partners, and other stakeholders to support the implementation of the business model.

6.How scalable is your business model?Consider whether the business model has the potential to be replicated and scaled to support the growth of the business.

We look at the so-called business model, which is whether you can find the pain points of users and help them solve themNow there is a very popular word called empowerment, can you empower these businesses or enterprises, or even individuals who need to be empowered?

Through the reengineering of the business model, it has become such a situation:

Fifth-rate enterprises sell products, and they earn price differences, interest rate differences, and exchange rate differences, and banks also earn interest rate differentials, allowing depositors to save their money at a lower interest rate, and then release their money with a higher interest rate.

Fourth-rate enterprises sell services, such as by time, volume, time, and proportion, and now many lectures are also sold on a one-time basis.

When third-rate enterprises sell brands, they sell culture, brands, industrial design, and cultural creativity.

Second-rate enterprises sell business opportunities, such as intellectual property rights, equity, mobile phone port fees, bank wealth management, and so on.

First-class companies sell standards, such as standard certification fees, franchise fees, mobile phone monthly rent, bank annual card fees, and so on.

What category does your business currently fall into?In the new era, how to upgrade and reconstruct your business model?How to adjust and optimize according to market changes and consumer needs under the overall strategy and positioning?These are all questions that business owners need to think deeply!I am Shangguan Jingfeng, welcome to join me in the ** investment management way!

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