What are the characteristics of a good business model?

Characteristics of a successful business model:

1, accurate positioning.

Clarify the problems and pain points of target customers, formulate product development strategies and plan products or services by combing the industry environment. Provide valuable, unique products that meet the needs of customers in this market, so that customers are willing to pay for it.

2. The target market should be large.

The target market is the customer group that the startup intends to attract and sell products or services to through marketing. Finding a fast, large-scale and sustained growth market is the key criterion to determine whether it is an excellent market.

3. The profit model is better.

How to make money? How to price? Will the cash flow of income meet all expenses? Including daily expenses and after-sales support expenses, and then there is a good return. The design of profit model can be considered from the following aspects:

1) Income from products or services themselves;

2) increase the added value of products and form new profits;

3) design new products around product customers to form new profits; ?

4) Accelerate the capital turnover and tap the deposited profits;

5) Process optimization, eliminating invalid processes and creating profits.

4. It's hard to imitate.

A good business model must be closely combined with its own unique advantages. Enterprises can establish their own uniqueness, provide unique value, improve the entry threshold of the industry, and at the same time take into account the barriers of latecomers, which is not easy to be surpassed.

5. The risk should be low.

It is to comprehensively evaluate the various risks that may be faced. An excellent business model, the greatest possibility should be to become a leader and chain owner, rather than being subject to people at the beginning of development. The ultimate goal of risk assessment is to identify all possible risks and formulate corresponding strategies to control and manage risks.

Extended data:

How to determine a successful business model;

1, demand positioning

On the basis of comprehensive investigation, the specific requirements of end users for hotels are listed in detail. For example, the requirements of low-end business people are convenient transportation and communication, safe and worry-free, clean environment, quiet rooms, convenient procedures, beautiful decoration, comfortable facilities and complete business facilities. ....

Then, fill these demand points into Maslow's demand hierarchy, and you will find that the core demand of end users is one word-"sleep". Of course, other demand pain points, such as safety, hygiene, convenience and privacy, should also be taken into account. These are the target needs that enterprises need to meet.

2. Demand chain analysis

After the end user's target demand is determined, it can be used as a starting point to lengthen the whole demand chain and determine the main stakeholders.

Every link in the demand chain is triggered by the needs of end users, and it also needs to serve the needs of end users, such as the requirements for upstream strong and weak power system integrators.

3. Value chain analysis and value chain reorganization.

On the basis of demand chain, this paper analyzes the main value links, draws the value links and constructs its own value link combination.

4. Design of transaction mode and transaction configuration.

On the basis of demand chain analysis and value chain analysis, the appropriate transaction model with major stakeholders is constructed and the transaction structure diagram is drawn.

Considering the limited contact area and radiation area of customers in a single store, we can only implement the sales agency system, entrust the related matters of transaction configuration such as customer interface, service channels and customer expansion to travel agencies, share the transaction risks and costs in proportion with them, and pay commissions.

5. Profit model design and optimization.

The initial profit model of low-cost hotels is "selling services". After the successful operation, we should consider joining the chain and upgrading it to "selling investment" and "selling qualification". But as far as a single store is concerned, the profit model can also be optimized to a certain extent, that is, earning income from a third party or transferring costs to a third party.

Such as providing advertising space and vending machine space in the store to obtain third-party income, setting up third-party pastry rooms and kiosks in the store and sharing property rent. Then, on the basis of the transaction structure diagram, estimate the income and expenditure situation or the inflow and outflow of cash flow, and draw the income and expenditure statement or cash flow statement.

At this point, the business model design framework of "cheap hotel" has basically taken shape.

6. Design check

Science is not proved, but tested. The test of business model design scheme is not the traditional idea of "feasibility analysis", but a more rigorous "infeasibility analysis", that is, trying to deny the "freshly baked" design scheme. If it fails, it is feasible.

This is done because it is meaningless to spend time to find 999 reasons to prove that the scheme is correct and the project is feasible. As long as the1000th factor is found to prove that the scheme is not feasible, there will be problems.

Of course, "infeasible" is not a simple denial. If the "infeasible factors" can be eliminated through the passage of time, our own efforts or the strength of other parties in the future, it is the short board of the project and the key to success; On the contrary, if all efforts cannot be dispelled, the scheme will be overturned and the design will start again.

Baidu Encyclopedia-Business Model