5. Business Model in a time of crisis
MARCH 5, 2014, h.14:13
Yesterday was a good day. For me. For others, I don’t know.
In Eastern Europe the situation doesn’t seem to be good. How is it possible to risk this kind of escalation, in 2014? Wouldn’t it have been more appropriate to sit down and discuss it?
On the one hand, Russia is right, because there are the inhabitants of the Crimea claiming a different country(and according to Wikipedia, since 1992 they have been actually been an autonomous republic within Ukraine); on the other hand , there are disproportionate economic interests. On February 19, 1954, Crimea was given by the Soviet leader Khrushchev to the Ukraine, but only since 1989, Russia (URSS no longer) could no longer benefit from the powerful harbour on the Black Sea. Consequently Russia is looking for a way to resume earning from that region.
Strange but true my startup has the same goal: to figure out how to earn.
In a few words, set the business model to implement the business idea: we’re talking about a myriad of variables to bind together with consistency, from the procurement of customers, purchasing real product / service , through the use of forms of sponsorship or B2B . Without this step, any startup is doomed.
We don’t want to work for glory nor charity.
In my short career as a consultant, I’ve heard of entrepreneurs with great business ideas but who are dying from the lack of an effective business model.
To create our model D, our designer, bought a board, one of those with n-sheets.
Since yesterday the magic board is in Nerd per Caso’s home(now it’s not a house anymore, because it has become our startup’s office), and so yesterday we started to design our business model to understand how we can monetize. Simply be able to explain with a drawing, a diagram or a table model, gave us the opportunity to reflect . It’ssomething that I highly recommend to aspiring startuppers like us.
For now, we still see a little darkness, most likely we will try to differentiate the forms of income(although it can be a risky move), but definitely a source of income will be made by Pay Per Click (CLUE No.2).
The point is that:
- Italy is not Silicon Valley, the home of the successful startup, where the business model works (probably it’s also a matter of entrepreneurial culture and openness to change);
- Silicon Valley has apparently found a way to fight and defeat the Great C, Italy on the other hand is still in the process of evaluating how to survive the Great C;
By the way, the need to monetize it is among the top reasons why you create a startup, so it is an important step that we face; infact only in this way we can continue to have big dreams with our startup( in spite of the Great C).