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streams.

Thereforewesuggest

adopting a definition

which emphasizeson

the following issues

that a business

model has to ad‐

dress:

• [Product innova‐

tion] What business

the company is in,

the product innova‐

tion and the value proposition

offeredonthemarket.

• [Customer relationship] Who

the company's target customers



are, how it delivers them the

products, and how it builds a

strongrelationshipswiththem.

• [Infrastructure management]

How the company efficiently

performs infrastructure or logis‐

tics issues, with whom, and as

whichkindofvirtualenterprise.

andfinally,

• [Financials] What is the reve‐

nuemodel(transaction,subscrip‐

tion/membership, advertising,

commission, licensing) and the

cost model (cost of goods sold,

operating expenses for R&D,

salesandmarketing,generaland

administrative)?



After explaining why business

executivesandacademicsshould

consider thinking about a rigor‐

ousapproachtoe‐businessmod‐

els, we introduce a new e‐

Business Model Ontology. Using

the concept of business models

can help companies understand,

communicateandshare,change,

measure, simulate and learn

moreaboutthedifferentaspects



of e‐business in their firm. The

generic e‐Business Model Ontol‐

ogy(arigorousdefinitionofthee

‐business issues and their inter‐

dependencies in a company’s

business model), which we out‐

line in this paper is the founda‐

tionforthedevelopment ofvari‐

ous useful tools for

e‐business

management and IS Require‐

ments Engineering. The e‐

Business Model Ontology is

basedonanextensiveliterature

reviewand describesthelogic of

a “business system” for creating

value in the Internet era. It is

composed of four main pillars,

which are product innovation,

infrastructure management,

customer relationship and

 finan‐

cials. These elements are then

furtherdecomposed.

e‐BusinessModel

"Businessmodel"isa

buzzword with no

commonly accepted

meaning. In this pa‐

perwetryto

change this, to de‐

fine the concept and

to show that busi‐

ness models repre‐

sents a way of im‐

proving doing

busi‐

ness under uncertainty. As ex‐

plained by Petrovic et al.

(Petrovicetal.,2001),abusiness

model describes the logic of a

“business system” for creating

value,thatliesbehindthe actual

processes. In this paper we use

the following working definition

for business models, which will

serve as a

 starting point for the

more rigorous and detailed e‐

BMO. A business model is noth‐

ingelsethanadescriptionofthe

valueacompanyofferstooneor

several segments of customers

and the architecture of the firm

and its network of partners for

creating, marketing and deliver‐

ing

this value and relationship

capital,inordertogenerateprof‐

itable and sustainable revenue

Highlights

• 

Ane‐BusinessModelOntologyforModelinge‐Business

Index

Buildinge‐business

sites:Phasedapproach

2

Step‐by‐stepguidefor

buildingaWebpresence

2

B2B:Transformingbusi‐

nessprocessesfore‐

business

3

e‐marketplacemodel

3

IntegrationofBargain‐

ingintoE‐BusinessSys‐

tems

4



6

e-music business game newsletter, August—

September 2007

Newsletter

August—September,2007

With the backing of the EU

Leonardo da Vinci program

HTML Preview Music Business Newsletter page number 1.