Business modelrefers to an outline made by industry on how to earn profit. Thebusiness model will give a picture on a how a business is going tooperate. The operations of a firm should integrate the customers, andall the relevant stakeholders (Teece, 2012). On the other hand,upfront refers to the payment that an organization receives beforeexecuting the set work. The paper discusses how one can structurebusiness model to have the payments for the products upfront.
A business can be modeled to have an advertising business model.Advertising business model started with the introduction oftelevision and the radios. The internet has outdone the strategy ofadvertising using the TVs. Companies are using the internet to maketheir adverts (Teece, 2012). In their website, they have all thethings that they deal with and their prices. If any discounts aremade, it is still indicated. The website can be designed in such away that any person is visiting the site for the first time getscharged for the subscription fee.
For the peoplewho would wish to shop online, once they identify the ideal that theywant to be delivered to their places, they should pay an advance tothe company before the delivery is done. Once the ordered product isdelivered and inspected, then the customer can pay the amounts due.Advertising business will help the organization earn upfront for theproducts. The model can assist the body to increase its revenues aswell as profits. It will also be advantageous to the business, as thecustomer base will expand. Most clients like reliable and convenientshopping methods and they do not mind about the extra charges.
Teece, D. J. (2012). Business models, marketing strategy, andinnovation. Long range planning, 43(2), 172-194.
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