Cover Page by Sonya Zhang, Neal Cabage

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6. Business Models

“There’s not a single business model, and there’s not a single type of electronic content. There are really a lot of opportunities and a lot of options and we just have to discover all of them.”

—Tim O’Reilly

A business model describes how an organization creates, captures, and delivers value to its customers. Every business performs some activity with the intention of generating value for its customers. At a conceptual level, what does that look like and what existing businesses can you point to as examples to determine that your model is sound?

Identifying your business model is helpful for two important reasons. First, by studying business models of successful companies, you can increase your own odds of success—an activity ...

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