The Importance of Business Model Innovation

Comparing new business models with old models is not as difficult as it seems./nBusiness school professors often promote the idea of leveraging existing business models instead of creating new ones./nEntrant companies are more successful than incumbents because they do not have existing models to leverage./nBusiness model innovation is crucial for growth and overcoming disruption./nExamples of business model disruption include newspapers facing online advertising and conventional telephony being disrupted by Voice over IP./nIncumbent companies need to engage in business model innovation to compete with disruptors.