Now look at the list of business models below and describe the features of each of these business models, on your blog page, giving an example of each. The basic categories of business models discussed in the table below include:
Brokerage:
Brokerage:
- Frequent role in business to business (B2B), business to consumer (B2C) and consumer to consumer (C2C) markets
- Brokerage models include:
o Marketplace exchange
o Buy/sell fulfilment
o Demand collection system
o Auction broker
o Transaction broker
o Distributor
o Search agent
o Virtual marketplace
Advertising
- The broadcaster, in this case, a web site, provides content and services mixed with advertising messages in the form of banner ads. The banner ads may be the major or sole source of revenue for the broadcaster.
- Advertising models include:
o Portals
o Classifieds
o User registration
o Query based paid placement
o Contextual advertising / behavioural marketing
o Content targeted advertsing
o Intromercials
o Ultramercials
Infomediary
- Data about consumers and their consumption habits are valuable, especially when that information is carefully analyzed and used to target marketing campaigns. Independently collected data about producers and their products are useful to consumers when considering a purchase.
- Infomediary models include:
o Advertising networks
o Audience measurement services
o Incentive marketing
o Metamediary
Merchant
- Wholesalers and retailers of goods and services. Sales may be made based on list prices or through auction
- Merchant models include:
o Virtual merchant
o Catalogue merchant
o Click and mortar
o Bit vendor
Manufacturer (Direct)
- The manufacturer model, is predicated on the power of the web to allow a manufacturer to reach buyers directly and thereby compress the distribution channel. The manufacturer model can be based on efficiency, improved customer service, and a better understanding of customer preferences.
- Manufacturer models include:
o Purchase
o Lease
o License
o Brand intergrated content
Affiliate-
- provides purchase opportunities wherever people may be surfing. It does this by offering financial incentives (in the form of a percentage of revenue) to affiliated partner sites. The affiliates provide purchase-point click-through to the merchant. It is a pay-for-performance model, if an affiliate does not generate sales, it represents no cost to the merchant. The affiliate model is inherently well-suited to the web, which explains its popularity. Variations include, banner exchange, pay-per-click, and revenue sharing programs\
- Affiliate models include:
o Banner exchange
o Pay-per-click
o Revenue sharing
Community
- The viability of the community model is based on user loyalty. Users have a high investment in both time and emotion. Revenue can be based on the sale of ancillary products and services or voluntary contributions; or revenue may be tied to contextual advertising and subscriptions for premium services
- Community models include:
o Open source
o Open content
o Public broadcasting
o Social networking services
Subscription
- Users are charged a periodic -- daily, monthly or annual -- fee to subscribe to a service. It is not uncommon for sites to combine free content with "premium" (i.e., subscriber- or member-only) content
- Subscription models include:
o Content services
o Person to person networking services
o Trust services
o Internet service providers
Utility
- The utility or "on-demand" model is based on metering usage, or a "pay as you go" approach. Unlike subscriber services, metered services are based on actual usage rates
- Utility models include:
o Metered usage
o Metered subscriptions
Reference: Rappa M. (2010). Business Models on the Web. Retrieved on the 10th april, 2011 from http://digitalenterprise.org/models/models.html
What is the Mobile phone use /100 population - compare Australia, USA, China, India, Your Country
Australia 105
USA 86.8
China 47.9
India 29.4
Internet use (Mb/s) / 100 population - compare Australia, USA, China, India, Your Country
Australia 55.4
USA 111.2
China 4.8
India 0.3
Compare main strengths and weaknesses of Australia or your home country in the survey
Strengths
- Government usage
- Infrastructure environment
- Market environment readiness
- Political & regulatory environment
- Network Readiness index
- Individual usage
- Business readiness
Weaknesses
- Individual readiness
- Business usage
- Government readiness
What does the survey suggest to you about the Information Technology readiness of Australian business compared to Australian consumers?
The survey suggests business readiness (21) is ahead of individual readiness (31).
Reference: Dutta, S. & Mia, I. (2010). Global Information Technology Report 2009-2010. ICT for Sustainability. Retrieved on the 10th April, 2011 from http://www3.weforum.org/docs/WEF_GITR_Report_2010.pdf
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