Three ways to successfully innovate your business model

Edward Giesen (Leader in Europe, the Middle East and Africa for Business Strategy within the Strategy and Change practice for IBM Global Business Services (
Saul J. Berman (Global Services Leader for Strategy and Change and the Global and Americas Media and Entertainment Strategy and Change Lead Partner (
Ragna Bell (Global Business Solutions Portfolio Manager within the Strategy and Change group ( )
Amy Blitz (Strategy and Change Lead for the Institute for Business Value within IBM Global Business Services (

Strategy & Leadership

ISSN: 1087-8572

Publication date: 13 November 2007



The purpose of this paper is to find out what exactly the term business model innovation encompasses and what type yields the best results.


IBM Consulting researchers first identified the main types of business model innovation, which can be used alone or in combination. They then compared these three types of business model innovation across 35 best practice cases.


The study found that all new business models can be classified into three types: innovations in industry models; in revenue models and in enterprise models. A key finding was that each type of business model innovation, with the right strategy and strong execution can generate success.

Practical implications

Researchers found that while network plays are being used by diverse companies in different industries and regions and of varying age, size and other characteristics, this tactic has been a particularly useful strategy for older companies.


The study found that best business model innovation strategies provide a strong fit between the competitive landscape for a particular industry and the organization's strengths, shortcomings and characteristics such as age and size.



Giesen, E., Berman, S.J., Bell, R. and Blitz, A. (2007), "Three ways to successfully innovate your business model", Strategy & Leadership, Vol. 35 No. 6, pp. 27-33.

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Emerald Group Publishing Limited

Copyright © 2007, Emerald Group Publishing Limited

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