Video: Business Model Innovation Essay

Question:

Discuss about the Video for Business Model Innovation.

Answer:

Introduction:

Business Model Innovation

Key Ideas of Video

The major ideas of this video are totally relate to the business model innovation. In this video, it is illustrated that innovative business model is essential for the success as well as growth of each and every organization. Along with this, with the help of this video, it is also extracted that a business firm must adopt and implement innovative ideas as well as strategies to accomplish the competitive advantages in an effective and a more comprehensive manner. Moreover, it is also observed that, most of the organizations used innovation in order to offer superior services than other competitive business firms. In addition to this, business model innovation is very helpful for the business associations. It is because of it is very simple and does not require new technologies to improve the productivity, profitability, and brand image of the firms in the international market (HSGUniStGallen. 2013). Apart from this, business model innovation only motivates the business associations to present the existing products as well as services to the customers in a more innovative way. Furthermore, business model innovation offers unique changes as well advantages to each and every organization. At the same time, it is also found out that, innovation plays an important role in order to improve the customer value, to condense the organizational costs, and to build competitive advantages for the growth as well as success of the businesses. Moreover, there are some fallacies linked to business model innovation that are not right. Business organizations must ignore these misconceptions and only focus on business model innovation in order to accomplish desired outcomes and to achieve competitive advantages in an effective and an appropriate manner.

Application of Key Ideas

It is well known that in today’s complex and competitive business environment, most of the organizations has implemented business model innovation in order to achieve competitive advantages in an effective way. In opposite to this, it is also true that most of the organizations are still unaware and do not know the importance of business model innovation for the business organizations. Nokia is a major example of this. So, according to me, Nokia must adopt and implement the major ideas related to business model innovation for the success and growth of the organizations. In recent years, the productivity and profitability of Nokia has been declined rapidly (HSGUniStGallen. 2013). In other words, it can be said that, it has become very difficult to Nokia to stand in front of its competitors such as: Samsung, Apple Inc. and so on. The main reason behind it is that the competitors of Nokia are using innovative strategies to attract new customers and to retain their existing customers in an effective way. In current, the users of Nokia are unable to enjoy Pok?mon Go, Prisma, and so on apps due to lake of innovation. For that reason, I believe that Nokia must adopt and implement business model innovation to improve the productivity, profitability, and to retain its customers in an effective and a significant manner.

Pankaj Ghemawat: CAGE Framework To Evaluate International Trade Opportunities

Key Ideas of Video

In this video, Pankaj Ghemawat demonstrates the importance of the CAGE framework for the success and growth of the business organizations at the global level. On the basis of the video, it should be noted down that, the CAGE (cultural, administrative, geographic, and economic) framework plays a significant role in order to provide trade opportunities to the business firms. Moreover, it is also extracted that business organizations only need to use the CAGE framework effectively in order to evaluate trade opportunities for the expansion of the business in the global market (Carlson School of Management. 2015). On the other hand, the CAGE framework make out cultural, administrative, geographic and economic distances between nations that business firms must address at what time developing international strategies. Furthermore, the CAGE framework is also valuable in order to comprehend trade patterns, capital, people flows and information of other nations in an effective way. The CAGE framework is also helpful to organization in order to recognize and evaluate the impact of distance on the businesses. For that reason, business firms should take help of the CAGE framework to understand the culture as well as economic of other nation and also work accordingly to take advantages of trade opportunities in an appropriate way. The CAGE framework also plays a major role in order to remove trade barriers between nations (Carlson School of Management. 2015). In this way, it is essential that business firm must adopt the CAGE framework in order to evaluate as well as capture trade opportunities in an effective and a more comprehensive manner.

Application of Key Ideas

It is true that in today’s globalized business era, the CAGE framework is important for the business organization. The main reason behind it is that, with the help of the CAGE framework, business organizations would be able to know the cultural, administrative, geographic, and economic difference between nations. For that reason, I believe that Domino’s Pizza Enterprises should also take help of the CAGE framework in order to expand its business in the international market in an effective and a more comprehensive manner (Carlson School of Management. 2015). Along with this, the CAGE framework would be beneficial for the firm in order to diminish the geographical distance and also to reduce the cultural as well as trade barriers effectively. In addition, Domino’s Pizza Enterprises face a lot of problem when it makes efforts to enter in the marketplace of the other nation. It is because of the economy and culture of that nation creates trade barriers to the firm. In this situation, Domino’s Pizza Enterprises must take advantage of the CAGE framework to understand the economy and culture of other nation and to do business in that nation accordingly. As a result, according to me, Domino’s Pizza Enterprises must adopt and implement the CAGE framework in order to evaluate trade opportunities and to remove trade barriers for the growth and success of the firm in the global market.

References

Carlson School of Management (2015). Pankaj Ghemawat: CAGE framework to evaluate international trade opportunities. Available At:

[Accessed on: 23rd August, 2016]

HSGUniStGallen (2013). Business Model Innovation. Available At: [Accessed on: 23rd August, 2016]

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