Discuss how doing case analysis will help you develop skills needed to prepare recommendations for consideration in a Strategic Plan. What is a business model and how can it disrupt a company, industry and or both? Provide at least two examples.

Answer 1:

A Business Case Analysis (BCA) brings into consideration the best possible value obtainable from a proposed line of action by considering among other factors cost, risks, and profitability.  

Business Case Analysis requires a thorough examination of the subject and the purpose of a business case.

It scrutinises all the assumptions upon which the proposed business case is founded and tries to balance the cost to the organisation against benefits. Benefits and Costs are weighted financially as well as non-financially and having researched all the possible angles to the risks, a recommendation is made.

One of the tools which are used in BCA as well as in crafting Strategic Plans is the SWOT Analysis. It cross-examines the relationship between an organisations Strengths, its Weaknesses, Opportunites and Threats.  

A good strategic plan, therefore, is one which takes cognisance of one's strengths and how it can be used to take advantage of opportunities whilst minimizing threats and weaknesses at the least cost/risk possible.  

Hence the tools in BCA are very integral in preparing recommendations for a Strategic Plan.

Answer 2

A Business Model refers to the methodology that a business currently or plans to use in generating utility or value, delivering such value, getting value in return, what type of customers that will, in turn, receive its value and return value for utility provided. It also speaks to the kind of products or services the business will be selling and how it will generate finance.

Example 1

The invention of the electronic mail by Ray Tomlinson disrupted the traditional way of writing letters. When the now big players such as "Yahoo" and "Google" commercialized it, the used a Freemium Bussiness Model.  

This model allows users to take advantage of the basic features of the product or service for free but must pay if they require an upgrade to more advances functionalities.

This was necessary and it worked because service was novel. A lot of people needed the eMail but didn't know it yet. Giving out the basic functions for free was the strategy to overcome this need-knowledge gap.

Did it disrupt Postal Services around the world? Yes. Almost no one sends postal mail anymore except if it has to do with a shipment of tangible goods.  

Example 2  

Free offerings Model: This business model gives out its products or services for free. This model was popularized by "Google".

They provide lots of very useful services but gain access to user information for free as well which they, in turn, evaluate for targeted advertising or bespoke offers.

Cheers!

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