Business Enterprise Essay Example | Topics and Well Written Essays - 1000 words

Business Enterprise - Essay Example â€Å"A business model describes the rational of how an organization creates, delivers and captures value† (Osterwalder & Pignuer, 2009). A business model canvas is a visual chart. The elements in the chart will describe the firm’s value proposition, infrastructure, customers and finances. It describes its elements through the building blocks. Key partners as well as key suppliers have to be included in this part of the model. For the success of the site Spotify needs a good deal with the related parties like the recording company. Another key partner is Facebook. All the account holders of Facebook have an opportunity to deal with Spotify. Key resources are required to offer the value proposition to the customers; or deliver what the customers want. Key resources can be â€Å"physical, intellectual, human and financial resources† (Osterwalder & Pignuer, 2010). The key resource for this company is music. Since, it has to make available all music to the entire world, so the music license has to be obtained. A server is also required to reach the customer. Value proposition is something which the company is giving to its customers. In other words, the factors which are forcing the customer to buy the products of the company are termed as the value proposition of the company. Here, the value proposition is between the listeners and the advertisers. The value proposition for the listeners is that, it offers a large amount of music for least cost. And the site is legally registered. The songs can be listened through a smartphone and can be listened offline too. Another offer is that we can share songs. For the advertisers, the site is making a platform to advertise their products and services. In the current context, customer is considered as a king. Companies are required to give what the customers want. In service industries also, the company have to keep in