The term business model has been used in practice for few years, but companies create, define and innovate their models subconsciously from the start of business. Our paper is aimed to clear the theory about business model, hence definition and all the components that form each business. In the second part, we create an analytical tool and analyze the real business models in Slovakia and define the characteristics of each part of business model, i.e., customers, distribution, value, resources, activities, cost and revenue. In the last part of our paper, we discuss the most used characteristics, extremes, discrepancies and the most important facts which were detected in our research.
Start-up is a fast-growing business and its revenue model, as conceptual framework for revenue, income and above average return on investment generation, can be considered to be the heart of the business model and the key to its success.The subject of the study are the specifics of startup monetization models in Slovakia. The main goal of the study is to define the types of revenue models used on Slovak startups market place and to answe the question whether there is a significant difference in startups' revenue failures due to the revenue model, pricing model and time of payment. The methods used in gathering data were regular one on one in person interviews with startup founders and the ANOVA and Tukey's honest significant difference methods. We considered the results to be statistically significant if they were on level p < 0.05. The results we found is a significant difference between focusing on a concrete revenue model compared to not having one and there was not a significant difference among models itself.
The aim of the research is an in-depth and detailed knowledge of the start-up business model, which is structured according to Canvas visualization. The research sample contains 106 start-ups operating in Slovakia. Each start-up was researched by a member of the research team, who personally recorded the statements of the founder. The research results are based on qualitative analysis and synthesis of statements of the founders of start-ups. The main results of the research are a summary view of the business model of the examined start-ups, which expresses the peculiarities of the start-up business making, including priorities within its blocks, and the identification of space for variations in the business model of start-ups. A secondary result of the research is the subjective and objective circumstances of the creation of a business idea, its content, confirmation of its originality, and the peculiarity of the start-up development process. The practical use of the results consists in providing a pattern of the business model and the possibilities of its variation, which are the result of field research of real and functioning start-ups. The originality and value of the research lie in the direct collection of qualitative data, immediate knowledge of business reality, and the synthesis of results into a comprehensive and detailed picture of the start-up business model.
Start-ups are an attractive business phenomenon because they offer opportunities for personal self-realization and extraordinary business growth. The survival and sustainability of start-ups depends mainly on the quality and development of their business model. However, this assumption must be confirmed by the field research. Field research dealt with the personnel background of the business, the business idea, the structure of the business model, the impact of quality and development degree of business model on start-up performance. Each start-up was individually examined on the basis of a structured questionnaire and a personal interview with the founder. Start-up founders are relatively young and educated, but without relevant business experience. The originality of business ideas is approaching the European level, but the evidence about it is superficial and the degree of protection of ideas is low. The level of quality and development of business model blocks is unbalanced. The most developed block is the customer value proposition/product, the least developed block is the revenue streams. The business model affects the performance of the start-up, but in a small intensity and efficiency only. The examined start-ups are slow in their development and fail to sufficiently monetize the results of their efforts. Research has revealed new and original insights into the structure of the business model of start-ups, the links between the quality of blocks and their stage of development, the impact of the business model on start-up performance or sustainability, and identified some weaknesses of startups. Faster development of business model and purposeful selection of partners and effective cooperation with them would probably eliminate at least some of the shortcomings of the start-ups under investigation.
The business model is a conceptual image of the operational part of the company. Methods of visualization are used for its formal description. The actual models are arranged into a typological concept that creates the prerequisites for the evaluation and examination of their potential for innovation. The innovation space of the business models has been studied based on an extensive sample of enterprises. The nature of the innovations of the business models, the limits of their innovation space and the tendencies of the development of the innovation space has been identified.
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