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EA final exam

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Question:

Effective business model

Author: Danny Terro 3902



Answer:

Is it aligned with company goals? • The choices made while designing a business model should deliver consequences that enable an organization to achieve its goals. Is it self-reinforcing ? • The choices that executives make while creating a business model should complement one another; there must be internal consistency. Is it robust? • A good business model should be able to sustain its effectiveness over time by fending off four threats: •imitation •holdups •slack •substitution


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