Acta Univ. Agric. Silvic. Mendelianae Brun. 2015, 63(6), 2101-2107 | DOI: 10.11118/actaun201563062101

Performance Implications of Business Model Change: A Case Study

Jana Poláková, Gabriela Koláčková, Ivana Tichá
Department of Management, Faculty of Economics and Management, Czech University of Life Sciences in Prague, Kamýcká 129, 165 21 Praha, Czech Republic

The paper deals with changes in performance level introduced by the change of business model. The selected case is a small family business undergoing through substantial changes in reflection of structural changes of its markets. The authors used the concept of business model to describe value creation processes within the selected family business and by contrasting the differences between value creation processes before and after the change introduced they prove the role of business model as the performance differentiator. This is illustrated with the use of business model canvas constructed on the basis interviews, observations and document analysis. The two business model canvases allow for explanation of cause-and-effect relationships within the business leading to change in performance. The change in the performance is assessed by financial analysis of the business conducted over the period of 2006-2012 demonstrates changes in performance (comparing development of ROA, ROE and ROS having their lowest levels before the change of business model was introduced, growing after the introduction of the change, as well as the activity indicators with similar developments) of the family business. The described case study contributes to the concept of business modeling with the arguments supporting its value as strategic tool facilitating decisions related to value creation within the business.

Keywords: business model, value creation, performance indicators, structural market changes, small agricultural enterprise
Grants and funding:

This paper serves as preliminary study and is financed by CIGA of CULS Prague as project [No. 20131005].

Prepublished online: December 26, 2015; Published: January 1, 2016  Show citation

ACS AIP APA ASA Harvard Chicago IEEE ISO690 MLA NLM Turabian Vancouver
Poláková, J., Koláčková, G., & Tichá, I. (2015). Performance Implications of Business Model Change: A Case Study. Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, 63(6), 2101-2107. doi: 10.11118/actaun201563062101
Share...
Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    References

    1. AMIT, R., ZOTT, C. 2001. Value creation in E-business. Strategic Management Journal, 22: 493-520. doi: 10.1002/smj.187. DOI: 10.1002/smj.187 Go to original source...
    2. AFUAH, A. 2004. Business models: A strategic management approach. New York: Irwin/McGraw-Hill.
    3. AFUAH, A., TUCCI, C. L. 2001. The Business Model: Recent Developments and Future Research. Journal of Management, 37: 1019-1042. Go to original source...
    4. BEČVÁŘOVÁ, V. 2007. Shaping agribusiness and its impact on the competitive environment of agricultural enterprises. In: 104th EAAE-IAAE Agricultural Economics and Transition: What was expected, what we observed, the lessons learned. Budapest: CUB, 81-92.
    5. CSÁKI, C., FORGÁSC, C. 2008. Agricultural economics and transition: What was expected, what we observed, the lessons learned Proceedings (Volume II). Budapest: IAMO, Corvinus University of Budapest (CUB).
    6. HRON, J., PILAŘ, L., POKORNÁ, J., ŠTÁDLEROVÁ, M. 2012. Possibilities of using the four-factorial inventory of the climate of innovation in the Czech agricultural sector. AGRIS on-line: Papers in Economics and Informatics, 3: 1-9.
    7. NEMĚC, S. 2013. Transformation of production orientation and the sales technique in Němec's farmers diary Radonice, LTD. Praha: CULS.
    8. OSTERWALDER, A., PIGNEUR, Y. 2009. Business Model Generation. Amsterdam: Modderman Drukwerk.
    9. OSTERWALDER, A., PIGNEUR, Y., TUCCI, C. L. 2005. Clarifying business models: origins, present and future concept. Communications of the Association for Information Science, 16: 1-25. Go to original source...
    10. ULVENBLAD, P., HOVESKOG, M., TELL, T. 2014. Agricultural business model innovation in Swedish food production. In: DRUID Society Conference 2014. Copenhagen, Denmark: CBS.
    11. VORLEY, B., LUNDY, M., MACGREGOR, J. 2008. Business Models for Small Farmers and SME's. Global Agro-Industries Forum, India. [Online]. Available at: www.gaif08.org. [Accessed: 2015, January 3].
    12. ZOTT, C., AMIT, R. 2008. The fit between product market strategy and business model: implications for firm performance. Strategic Management Journal, 29: 26. DOI: 10.1002/smj.642 Go to original source...

    This is an open access article distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License (CC BY NC ND 4.0), which permits non-comercial use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.


    Return to the content