Business Model Deconstruction of Blueshyft: A Critical Analysis

Desklib provides past papers and solved assignments. This report analyzes Blueshyft's business model.

Assessment 1: Business Model Deconstruction
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Contents
Introduction......................................................................................................................................3
1. Overview of the company.....................................................................................................4
2. Business Model.....................................................................................................................4
3. Key Interrelationships...........................................................................................................5
4. Success factors to achieve sustainable success.....................................................................6
5. Risk Factors..........................................................................................................................6
6. Recommendations.................................................................................................................7
Conclusion.......................................................................................................................................9
References......................................................................................................................................10
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Introduction
The report will provide an in-depth and critique knowledge about the true meaning of business
model and why is it essential for the business organizations to develop a business model. The
report includes the use of nine building blocks and the application of the same in the company.
The report will be based on the company, Blueshyft. It will include the factors which help in
achieving sustainable success and the factors which affect the success of the business model of
the Blueshyft. The report will conclude with changes that are to be required in the business
model for the success of the company.
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1. Overview of the company
Blueshyft is an Australian based company which started its business from mid-2015. It deals
with providing solutions to operational and technical related issues. It has an iOS-based platform
installed in approximately 600 stores which are conveniently in reach of the customers. It has
initiated with online business and is considered to be one of the most advanced in-store gateways
for payments. The company provides making payments over-the-counter services to its
customers. It covers the market area of all the cities in Australia. The company aims to provide
its customers with online payment facility and attracting more number of customers. It aims to
provide unique and innovative services to the customers in order to capture a large market area
and expand its business across the world (Blueshyft, 2019).
2. Business Model
A business model describes the plan for the success of the business operations and activities by
the identification of various revenue sources and products with the objective of improving the
customer base. The business model of the Blueshyft is to attract more customers by providing
online payment gateway services to them (Bocken, et. al., 2016).
The nine building blocks in Osterwalder & Pigneur’s canvas is as follows:
Key Activities:
Providing an online
payment gateway
to make it easy and
convenient for
customers to make
online payments.
Key Partners:
Ladbrokes,
Bitcoin Australia,
Goget,
News Corp, etc.
Customer
Relationships:
By focusing on loyalty
programs and
providing them with
several online offers.
Value Propositions:
To provide customers
with innovative ideas
and help them to
make payment from
anywhere, anytime.
Customer
Segments: All the
customers are
attracted and use its
services. People
who make
numerous online
payments are the
customers of the
Blueshyft.
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Key Resources:
Technology,
Financial
Resources,
Active Partners,
Workforce, etc.
CHANNELS:
Customer Executives,
Online Portals
COST STRUCTURE:
The service charges,
REVENUE STREAMS:
Advertising,
Fee charges
The business model of Blueshyft is prepared using the nine building blocks. These blocks consist
of key activities which include the activities in which Blueshyft is involved into, key partners
are those which are working with the company in the form of collaboration, key resources are
those resources which are essential for the company to accomplish its goals and objectives,
customer segment consists of the target customers which gets attracted by the services as
provided by the Blueshyft, customer relationships are built by the company to increase its
customer base and to improve the level of trust and bond, value propositions are used to provide
with the vision and mission of the company, cost structure is the costing or expenses of the
company, revenue streams are the sources of finance and ways from which the funds are raised
in the company, channels are the medium through which the services are provided to the
customers (Joyce, et. al., 2016).
3. Key Interrelationships
The partners of the Blueshyft provide support in terms of resources like financial resources,
technology, etc. Ladbroke helps in services like a cash-in deposit to the customers for the
Blueshyft which also has physical stores that also helps in building trust among the customers.
News Corp helps in developing innovative and creative solutions to increase its sales by using
technology platform. There is an interrelation of the key partners with the Blueshyft so as to
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attract more customers by increasing its customer base and helps in providing the customers with
advanced technological services. The cost and revenue factors are related in terms of more the
cost of the product it will affect the revenues of the company.
4. Success factors to achieve sustainable success
There are various factors which provide a great impact on the sustainable success of the
organization. These factors include:
1) Commitment to Improvement: In order to attain sustainable success it is essential on
the part of the companies to make continuous improvements in the strategies, products,
policies, services, etc. Continuous improvement helps in providing trendy products and
services to the customers and improving the goodwill of the company.
2) Commitment to Leverage: Leveraging sustainability in the organizations provides chain
in the business organization in the areas which includes logistics, eco-design, and circular
economy which helps in creating win-win solutions in various factors such as carbon
reduction, customer satisfaction, reduced costs, and improved efficiency in the operations
of the organizations.
3) Commitment to Engagement: for sustainable success, it is important to have
stakeholder engagement. The employees working with the common objective provides
the company with a competitive advantage and aid in sustainable success in the long run.
Stakeholder engagement helps in improving various issues and ensuring that the team and
employees of the organization are focusing on sustainability.
4) Clear and transparent objectives: It is important for the company to have clear goals
and objectives so as to influence the employees’ participation and their productivity in
accomplishing the goals and objectives of the company as being clearly stated.
5) Diverse Resources: It is important to make optimum utilization of resources to attain
higher sustainable success by the organization (Disterheft, et. al., 2015).
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5. Risk Factors
Business model and the success of its implementation are affected by various factors. Blueshyft
prepares its business model using nine building blocks but the factors which can affect its
success are:
1) Innovation: Innovation is the key to success. Customers get attracted to new and
innovative products. In order to survive in the market against the competitors, it is
essential to provide innovative products and services to the customers.
2) Motivated employees: Influenced or motivated employees give their best to contribute
to achieving the goals and objectives of the company. They work with their efficiency
and productivity and take efforts in the growth and development of the organization.
3) Technology: Advanced technology influences the company in producing better and
trendy products by understanding the needs and demands of the customers. It helps in
offering products with updated technology.
4) Customer relationship management: Building or development of the relationship with
customers takes place by conducting various loyalty programs, personal selling, etc. This
helps in improving the customer base and attracts more customers.
5) Value proposition: This focuses on fulfilling the needs and demands of the customers.
The value addition creates a unique identity of the company. It helps in identifying the
needs of the customers and segregating them which makes it easier to understand the
potential customers and helps in producing goods accordingly so as to increase sales and
revenues of the company.
6) Delivery channels: This is one of the important factors which affect the success of the
business model. It is an integral part of the organization. The improved delivery channels
can help in timely delivery of the services to the customers. In the Blueshyft Company,
delivery channels are online portals and customer executives who will be serving the
customers. Skilled executives and improved portal with advanced technology can help in
attracting more customers and in attaining the success of the business model of the
company (Ab Talib, et. al., 2015).
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6. Recommendations
The company shall focus on new opportunities available which mean changing tastes and
preferences of the customers according to the changing business environment and marketing
conditions. This can be analyzed by conducting research. It should focus on its value proposition
in order to provide a collective advantage to its customers by offering them products of their
choice and need. The company should identify new opportunities to earn more revenues and
profits. Focus on producing more innovative products and providing more innovative services. It
should produce high-quality products so as to keep its customers satisfied and retain them for a
longer period. It should keep the affordable price of the services in order to attract more new
customers. The company should also focus on fulfilling the needs of its employees and partners
as well along with focusing on the needs of the customers (Kavadias, et. al., 2016).
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Conclusion
From the analysis made above, it can be concluded that it is essential for all the business
organizations to create a business model and use it in improving the revenues and profits of the
company and also to increase the customer base. There are various factors which not only affect
the success of the business model but factors which help in sustainable success. The business
model of the Blueshyft provides information covering almost all the important aspects which are
required in accomplishing the goals and objectives of the business organization.
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References
 Ab Talib, M. S., Abdul Hamid, A. B., &Zulfakar, M. H. (2015). Halal supply chain
critical success factors: a literature review. Journal of Islamic Marketing, 6(1), 44-71.
 Blueshyft, (2019). A unique solution backed by a dedicated team. [Online]. Blueshyft.
Available at: https://www.blueshyft.com.au/about. [Assessed: 5/4/2019]
 Bocken, N. M., de Pauw, I., Bakker, C., & van der Grinten, B. (2016). Product design
and business model strategies for a circular economy. Journal of Industrial and
Production Engineering, 33(5), 308-320.
 Disterheft, A., Caeiro, S., Azeiteiro, U. M., & Leal Filho, W. (2015). Sustainable
universities–a study of critical success factors for participatory approaches. Journal of
Cleaner Production, 106, 11-21.
 Joyce, A., &Paquin, R. L. (2016). The triple-layered business model canvas: A tool to
design more sustainable business models. Journal of Cleaner Production, 135, 1474-1486.
 Kavadias, S., Ladas, K., & Loch, C. (2016). The transformative business model. Harvard
business review, 94(10), 91-98.
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