Evolution of Home Based Business Models.

From an historical perspective, the development of business models is very brief. The shopkeeper business model is not only the oldest but the most basic. This business model involves the setting up of a store in any location where there is a like hood of the presence of potential customers with the display of their product(s) or service for every passer-bys to see. However over the years, various business models have evolved with so many changes with high level of sophistication.

Early 20th century saw the introduction of the bait and hook model offering a basic service for a low cost and very often at a loss. The bait and hook business model is exemplified with the act of charging compensatory recurring amounts for refills or other products or services. Examples are razor which form the bait and blades are the hook.Cell phones are the bait while the service charges and airtime that are the hook.

In the 50's new business models sprung up out of which came out companies like McDonalds and Toyota. In the 1960's Wal-Mart was the innovator and the 1970's saw new business models from FedEx, Toys R അസ്‌. The 1980's pushed Blockbuster, Home Depot and many computer companies to the forefront with their innovative business models. However many of the dot.com business models crashed because most of them were poorly thought out and their respective business principles badly prosecuted.

Today's business models depend on how the available technology are maximised.For example, Internet entrepreneurs have created new business models with the emergence of new technology. With the use of Internet via the computer, a business has the advantage of reaching more customers with minimum cost.

moses zaccheaus - a writer, author, publisher, philatelic and numismatic teacher.
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