Essay Sample on Business Model

Introduction

A change in business model in a company I am familiar with is Apple. The BMC (Business Model Canvas) is a business structure outlined on one page (França et al., 2017). The business model takes the segmentations that encompass various stakeholders and requirements that will keep each satisfied. Apple, a company based in Cupertino, California, used this business model for 15 years from 1976 when it started experiencing a decline in the late 90s (O’Reilly III and Tushman, 2016). The problem was the creation of products that were not able to meet the demands of the market. The return of Steve Jobs to the company after being fired saw a change in the model of operation, propelling the company to great success. The business model explored other opportunities for making money i.e., The internet.

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Business Model

Customers have been an integral part of Apple's business model (Pine II and Gilmore, 2016). After Apple initiated changes, business took off, and once again, it regained its hold on the smartphone market and the provision of other services. Apple's concentration brought such massive success on providing goods and services that catered for customer’s needs. Employees were also affected in this change due to the digitization of the company's major operations. The previous business model saw apple concentrate on making hardware, but the new model incorporated software services such as iTunes. Digitization, after the introduction of the new business model, affected employees in that their numbers increased. Apple was also looking to turn around its fortunes due to the low sales and profits. Investors, some of the key stakeholders of the company, wanted results, which meant profits. It necessitated the changing of its business models to make profits to the company. The strategy was successful, and now apple investor’s stock prices have skyrocketed.

Conclusion

Customers might want products that are tailored to their specific needs. Proper communication is sending customer relations personnel to survey and sample customer views and then communicate their responses to the company's relevant people, such as the CEO. When a business makes losses at the end of every quarter, it can be an issue of concern to investors (Lev and Gu, 2016). As special people in the company, their concerns can be communicated through a management board where people representing all aspects of the company are present. Employees play a crucial role in running a company, and their needs, such as proper wages and a good working environment, need to be addressed. The proper communication of such needs is the appointment of a representative who can air the grievances to a company’s human resource manager.

References

França, C. L., Broman, G., Robert, K. H., Basile, G., & Trygg, L. (2017). An approach to business model innovation and design for sustainable strategic development. Journal of Cleaner Production, 140, 155-166.

Lev, B., & Gu, F. (2016). The end of accounting and the path forward for investors and managers. John Wiley & Sons.

O’Reilly III, C. A., & Tushman, M. L. (2016). Lead and Disrupt: How to solve the innovator's dilemma. Stanford University Press.

Pine II, B. J., & Gilmore, J. (2016). Integrating experiences into your business model: five approaches. Strategy & Leadership.