The Centre for Workplace Leadership #leadingatwork. The Australian Centre for Social Innovation » The Australian Centre for Social Innovation. Business Model Alchemist. Eight Models of Business Models, & Why They're Important. The term Business Model is one that gets thrown around a lot these days. Even though it might sound like a buzzword to you, it’s important to understand what a business model is, and how they are useful. One of the confusing things about the business model concept is that there are a wide variety of models of business models, and it seems as though everyone that talks about them makes up a new one. This can be frustrating if you are trying to figure out how to use the concept. At their core, all business models address this questions: how do we sustainably deliver value to our customers? In this instance, the sustainable part refers to your organisation – how can you deliver value so that you’re still around in the future? In a special issue of the journal Long Range Planning, Charles Baden-Fuller and Mary Morgan say that business models can serve three different purposes.
They can describe different kinds and types of businesses. Business models are important. Tim Kastelle. Eight Models of Business Models, & Why They're Important.