Changing business models and their impact on product development

Abstract

This chapter will examine how changes in the business model — whether in a company or an entire industry — can affect the process of product development. First, I define the precise nature of a business model, and how it should be used as a steering instrument for a company. Next, the chapter explores how business models develop over time and how these developments can be viewed as part of a lifecycle model. Following this, the question is discussed as to how companies can initiate and manage these innovations. Finally, a case study illustrates how generating scenarios for future business models can help companies to see what action they need to take now in terms of product development.