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Competing through business models


  • Casadesus-Masanell, Ramon

    (Harvard Business School)

  • Ricart, Joan E.

    () (IESE Business School)


In this article a business model is defined as the firm choices on policies, assets and governance structure of those policies and assets, together with their consequences, be them flexible or rigid. We also provide a way to represent such business models to highlight the dynamic loops and to facilitate understanding interaction with other business models. Furthermore, we develop some tests to evaluate the goodness of a business model both in isolation as well as in interaction with other business models of different organizations, be those competitors, complements, suppliers, partners, etc.

Suggested Citation

  • Casadesus-Masanell, Ramon & Ricart, Joan E., 2007. "Competing through business models," IESE Research Papers D/713, IESE Business School.
  • Handle: RePEc:ebg:iesewp:d-0713

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    References listed on IDEAS

    1. Ramon Casadesus-Masanell & Barry Nalebuff & David B. Yoffie, 2007. "Competing Complements," Working Papers 07-44, NET Institute, revised Nov 2007.
    2. Adam M. Brandenburger & Harborne W. Stuart, 1996. "Value-based Business Strategy," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 5(1), pages 5-24, March.
    3. Ramon Casadesus-Masanell & Pankaj Ghemawat, 2006. "Dynamic Mixed Duopoly: A Model Motivated by Linux vs. Windows," Management Science, INFORMS, vol. 52(7), pages 1072-1084, July.
    4. Shafer, Scott M. & Smith, H. Jeff & Linder, Jane C., 2005. "The power of business models," Business Horizons, Elsevier, vol. 48(3), pages 199-207.
    5. Ramon Casadesus-Masanell & David B. Yoffie, 2007. "Wintel: Cooperation and Conflict," Management Science, INFORMS, vol. 53(4), pages 584-598, April.
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    Cited by:

    1. Claussen, Jan & O'Higgins, Eleanor, 2010. "Competing on value: Perspectives on business class aviation," Journal of Air Transport Management, Elsevier, vol. 16(4), pages 202-208.
    2. Ángeles Montoro-Sánchez, 2009. "Competitive dynamics and business models in service business: a promising research subject," Service Business, Springer;Pan-Pacific Business Association, vol. 3(4), pages 311-318, December.

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    Business model; Interaction; Competitive Strategy; Competitive Dynamics;

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