ABSTRACT
'Business model' was one of the buzz words of the Internet Boom. A business model is an important tool for the communication with customers, employees and partners. To better understand business models, this chapter reviews the literature and identifies and classifies the components of business models cited therein. The concept of business models is used in many fields including traditional strategy theory, general management, innovation and information management literature and the emergent body of literature on e-business. The revenue model lays out the process by which an organisation actually makes money by specifying how it is going to charge for the services provided. The strategic business dimension of the market space model is based on the classical marketing model of the 4Ps (Product, Price, Promotion and Placement). IT for the price in the market space model covers online price information, demand-based pricing, dynamic composition of prices and customer participation in price determination.
