Reading time – 3 minutes
Category – Business
If you have started a business. That’s a good thing. Congratulations for your efforts.
All businesses of World produce value, which they provide to the masses. This is the value for which people pay their hard earned money.
Here are various forms in which businesses provide value –
1. Product –
They produce a physical or digital product which solves problems of customers.
2. Service –
They serve to solve particular problem of customers like doctors, financial advisor, lawyers, coaches, teachers etc.
3. Shard resource –
Produces a durable entity that can be shared by multiple users.
Like marriage palace, gym, theatre, mall etc.
4. Subscription –
They have recurring fee for a service or product.
Like Netflix, editing softwares etc.
5. Resale –
Here we buy a product at margin and sell it on a profit.
Like retail stores, online stores etc.
6. Loan –
Money is given with predefined interest on loan.
7. Ticketing or licensing –
For a particular fee a specific facility is provided for limited duration.
Like movie tickets, licence of guns, coupons, discount cards etc.
8. Insurance –
Transferring risk from buyer to seller after charging some amount.
You know there are so many of them around. They are continuously spamming your phone and emails.
9. Capital –
Purchase of ownership in a business.
Venture capitalists and investors.
You need to have good knowledge before you do that.
Potential buyers are aggregated in a common place to publicise and create some revenues.
Like trade fairs, conferences.
11. Agents –
They don’t produce themselves. They help produces to reach their customers. Like ad agency, PR agency, literary agents.
12. Lease –
In it particular assett is given on a fee to use. After customer goes next customer uses it.
Like boat, castle, car, motorcycle etc.
So, whatever business you do try to know what you are creating.
Also it is very important to notice that we might be missing few more things. Will like to hear from your side.
Inspiration – Personal MBA by Josh Kaufman.
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