Business model

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business model

means by which an organization generates income from sales and other sources through choice of pricing mechanisms and payors (e. g. user, advertiser, sponsor, other third parties), ideally sufficient to cover costs and create value for its owners (Note: for nonprofits and public agencies, donations and designated tax revenues may be an integral part of the model)

The original version of this page was created from Lovelock and Wirtz (2007). That original version is (c) 2007 Christopher H. Lovelock and Jochen Wirtz. Other terms are available in the Glossary.