(eCornell) Building Your Market Advantage

About This Course

Your business model is the organizational arrangement that allows your 5G innovation to thrive in the technological and business ecosystem. First you will articulate the value proposition of your offering: who benefits from the product and how. Next you will design your intended revenue mechanism, that is, who pays for what and how much. You will also consider how much it costs to create and maintain the offering. If the resulting price-cost margin is positive, then the innovation has immediate potential. If not, you will need to reconsider how to either further improve and differentiate the innovation to enhance users' willingness to pay or lower its cost of production. Once the margin is positive, you can then develop strategies to protect that positive margin over time. There are two critical strategic challenges. First, you will explore strategies to prevent imitation of your product. If it can't be protected and competitors can easily copy or substitute the product, then there is no long-term business viability. Second, you will consider the scalability of the innovation. If the margin is positive but there is a high fixed cost of development, then the market for your product needs to be large or rapidly growing in order to provide an opportunity to scale the business. The course is provided by eCornell in partnership with Genashtim.