Methodology for Business Model Related Product Design

In times of digitalization and Industrie 4.0 business model innovation becomes increasingly important. Studies show that business model innovators are earning a higher average premium than product or process innovators. Consequently, companies are developing a wide variety of innovative business models. Intelligent service offerings appear to be a promising way to create competitive advantages and therefore attract increasing attention in theory and praxis. Considering the trend towards business model innovation as given, the resultant challenge is to develop products or product-service-systems that are purposefully aligned with this business model in order to maximize the corporate success. The literature review revealed that existing approaches do not consider the specific business model when developing the conceptual design of products. This paper introduces a methodology for an improved design of products by configuring business model related product design features. Based on the definition of product and business model describing elements that determine the direction of product design during the conceptual phase, the paper compiles design guidelines for products that are used in service-related business models.

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