BUSINESS MODELS: IDEAL TYPES, VALUES, PROFITS AND TECHNOLOGIES

We construct ideal types of business models that describe a firm’s relationship with its customers that in turn gives value to creative or technical knowledge. We pay particular attention to two possibilities: the dyadic and the triadic business model. Within the dyadic category we find wellknown often discussed sub-categories of work-for-hire, simple product, servitized-product, and razorblade business model, and within the triadic we find the market-matchmaking and multisided business model. We carefully define each business model type (and sub-type) from a conceptual-principled point of view, and explore the differences between these idealized types in terms of value for the users; profits or surplus for the suppliers; and technological arrangements. Our paper draws on and extends the current literature in economics, strategy and platform-technology.

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