New Business Models for Global Economy: Private Individual Transportation Services

Introduction

The starting point for this chapter was to bring together the research fields of business models and innovation. The main purpose was to create a framework of these theories and use them to develop an analytical model. The chapter begins with a description of the main features of business model concepts and theories, and this literature review tries to create a frame for the innovation process of the business model for private individual transportation services. In this context, it was important to analyse the transformation of the traditional relationships between bank, clients, and client relationship management through technology. On one hand, there are the clients which are nuclear for any business model, and the research identifies the main clusters that are important for the client satisfaction. On the other hand, there are the value proposition of the business model which is the reason why clients turn to one company over another. The business model has to solve the client´s problem or satisfies their needs. The value proposition consists of a selected set of products and/or services that cater to the requirements of a specific client. In this sense, the value proposition is an aggregation of benefits that the company offers to clients. In the case of the business model of Uber, the main value propositions are: Knowledge; Professional requirements; Price; Intangible assets and brand value; Accessibility; Security and Reliability. These value propositions will be part of the model proposed as a best solution for private individual transportation services, resulting in the main product of this research. For a better understanding of the chapter, the structure is as follows: it will briefly, it will explore the business model concepts, followed by the presentation of the methodology and the research findings. The chapter concludes with a model proposal for private individual transportation services.