Business model development and strategic choices - the case of Site Logic

Abstract

Strategy has traditionally been seen as an important factor for the success of any business. In recent years the concept of a business model has evolved into a more practical tool alongside strategy.

In this master's thesis a business model is developed and strategic choices are discussed for a case company, Oy Site Logic Ab. The case company is a small consultancy planning and implementing websites and the goal is to find a way to achieve scalable growth through a business model, which utilises the current knowledge of the company.

In the theoretical part the terms business model and strategy are defined and a framework for business model development and strategic choices is constructed based on literature. In the framework a business model is first developed based on a business idea, second strategic choices underlying the model are discussed and last the business model is analysed. The business model description includes both breadth and depth.

In the implementation part a business idea is presented. Based on that idea the framework constructed in the theoretical part is implemented providing a business model and the strategic choices underlying it for the case company.

As a result of the work a business model is developed around a software product that produces sales leads from website visitors through self-learning analysis.

For the case company the results are concrete and valuable as is the process itself. The conclusion about the theoretical part is that for a small or new company a non-traditional process can be used; a business model is developed before the strategic choices underlying it are made.