Many businesses have business models that are quite simply broken. Business models are expiring faster than ever before. What used to work is not working. There are 4 reasons most business models are failing.
- The business is trying to solve a job that their customers simply don’t value.
- The business model is flawed. Put quite simply the numbers do not stack up.
- Competitors and technology has driven the margins in the business through the floor.
- Finally, execution sucks from a lack of leadership, poor infrastructure and wrong people in wrong roles.
Many businesses have no idea their business model has become a dinosaur. Even if they do they simply don’t know what to do differently or they don’t have the will to change. Often people are working against themselves, there is resistance and friction in every direction. It grinds everyone down.
Business and demand is dynamic, it does not sit still. Business models are expiring in as little as 2 years now. If you are not proactive in rethinking your business model regularly, then the inevitable is only a matter of time. Want a different outcome, then do something different.
Don’t sit still. You’ll get run over. Competition has doubled in the last 5 years, whole industries are being disrupted and demand is the name of the game now.
Customers rule. Tune in, and adapt or die.
Your business model has to stack up.