Cover	1
	Title Page	11
	Copyright	12
	Contents	15
	Preface	17
	PART I Foundation and Mindset for Business Model Innovation	21
	Chapter 1 Why Do Business Models Matter? The "What, How, Who, and Why" Framework for Understanding Any Business Model	23
	Why Do Business Models Matter?	23
	What Is a Business Model?	30
	Value Creation vs. Value Appropriation in Business Models	40
	Summary of Key Takeaways and Outlook	41
	References	43
	Chapter 2 How Business Models Create Value in New Ways - Case Studies and Theory	47
	Value Creation Through Business Models	47
	Standing on the Shoulders of Giants: Theoretical Foundations	53
	Business Model: New Unit and Level of Analysis	63
	What the Business Model Is Not	66
	Summary of Key Takeaways for the Effective Business Model Designer	69
	References	70
	Chapter 3 Adopting a Business Model Mindset - A Prerequisite for Transformative Innovation	75
	Toward a Business Model Mindset	75
	Cognitive Underpinnings of Business Models	85
	Ways to Foster a Business Model Mindset	94
	Summary of Key Takeaways for the Effective Business Model Designer	99
	References	101
	Chapter 4 Business Model Innovation - A Fundamentally New Source of Innovation	105
	What Is Business Model Innovation?	105
	Business Model Innovation Formally Defined	108
	A Framework for Business Model Innovation	115
	Measuring Business Model Innovation	120
	Illustrating the Upside of Business Model Innovation	123
	Pros of Business Model Innovation	126
	Illustrating the Downsides of Business Model Innovation	132
	Cons of Business Model Innovation	134
	Summary of Key Takeaways for the Effective Business Model Designer	137
	References	140
	PART II Strategic Design and Evaluation of Business Model Innovation	147
	Chapter 5 Strategic Design of Innovative Business Models - How to Bring Design Thinking and Creativity to Your Business Model	149
	Why Design Is More Than a Metaphor for Business Model Development	149
	What Is Design?	152
	Business Model Strategic Design Drivers	154
	Mindfulness in Design	167
	Robust Business Model Design	169
	Summary of Key Takeaways for the Effective Business Model Designer	174
	References	176
	Chapter 6 How to Design a New Business Model - A Dynamic Design Method	181
	A Process Perspective on Business Model Design	181
	The Business Model Design Process	185
	Building a Business Model Innovation Capability	201
	Summary of Key Takeaways for the Effective Business Model Designer	204
	References	205
	Chapter 7 How to Design a New Business Model - Methods Championed by Startup Entrepreneurs	211
	Converting Design Ideas into Practice	211
	Discovery-Driven Planning - Fail Soon, and Fail Fast	213
	Effectuation - Just Do It!	226
	Lean Startup - Test, Test, Test	232
	Summary of Key Takeaways for the Effective Business Model Designer	238
	References	239
	Chapter 8 Value Propositions - The NICE Framework for Measuring the Impact of the Business Model	243
	Business Models and Value Propositions	245
	A Formal Model of the Value Proposition	250
	How the Business Model Enhances Value Propositions: The NICE Value Drivers	252
	From Value Proposition to Value Appropriation	262
	Summary of Key Takeaways for the Effective Business Model Designer	264
	References	265
	Chapter 9 Evaluating Existing Business Models and Designing New Ones - Your Essential Toolkit	269
	Business Model Analysis - Why Is It Needed?	269
	Tools for Articulating and Understanding Business Models	271
	Tools for Framing the Design Effort	276
	Tools for Designing and Implementing Business Model Innovations	285
	Tools for Evaluating Business Models	292
	Summary of Key Takeaways for the Effective Business Model Designer	293
	References	294
	PART III Making Business Model Innovation Happen	297
	Chapter 10 Implementing Business Model Innovation in Established Firms - Organizational Barriers and How to Overcome Them	299
	Changing the Model: The Importance of Fit	299
	So, What Does Implementation Mean Precisely?	303
	Implementation Challenges in Established Firms	305
	Overcoming BMI Implementation Barriers in Established Firms	311
	Summary of Key Takeaways for the Effective Business Model Designer	322
	References	323
	Chapter 11 Implementing Business Model Innovation in New Ventures - Balancing the Prospects of Shooting for the Stars with the Risks That Can Sink the Ship	327
	The Importance of BMI Implementation for New Ventures	327
	Implementing BMI in New Ventures - Challenge or Opportunity?	331
	It Is About Managing Risks, Not Taking Them	333
	Dependence on External Third Parties: The Sharks Dilemma	335
	Internal Governance and Leadership Problems That Can "Sink the Ship"	336
	Business Model-Specific Barriers to Implementation	338
	Approaches to Overcoming BMI Implementation Barriers in New Ventures	339
	Summary of Key Takeaways for the Effective Business Model Designer	352
	References	354
	Chapter 12 Business Model Innovation Strategy in the Digital Age - What Does It Mean for You?	359
	Business Model Innovation in the Digital Age: A Key Strategic Issue	359
	The Strong Case for Having a Business Model Innovation Strategy	360
	Business Model Innovation Strategy: Think Digital Platforms	363
	How to Develop a Business Model Innovation Strategy	365
	Business Model Innovation Strategy: What Does It Mean for You?	369
	The Bottom Line: What Is Your Business Model Innovation Strategy?	372
	References	374
	Acknowledgments	375
	About the Authors	377
	Index	381
	EULA	403