Research On Community Commerce's Profit Model

Community commerce's profit model is a new commercial structure from which the enterprise could get rich profit. The change of market environment causes for concern of profit model. The core profitability model includes four elements: the source of profit, profit, profit levers, and the profit barrier. Almost all the profit models of enterprises are the compositions of one or two of these elements.Community commerce, as an ancillary products of community development, is different from the characteristics of city's regional business centre, SHOPPING-MALL and commercial pedestrian street patterns. The profit model has its unique, primarily reflected in the root of the community - dependent. The target market of business community is complex, and it includes shops investors, personal business, leasing business, consumer groups and the terminal consumers. The area of community commerce impacts on the profit of the enterprise under the same price. Early planning and positioning form of business community is a prerequisite for competitive advantage. The price position is the profitable way for development of enterprises. Therefore, the choice of target market, product positioning and price position are three core elements of community commerce's profit model.In addition to the profit business within the region concerned about the number of consumer groups, it also pays attention to regional groups within the consumer spending levels and consumption habits. In order to achieve profitability goals, the community commerce must also be restricted to those communities in future commercial development of business-related factors careful analysis and research. The factors that affected communities commercial profit are population size and growth potential, consumption characteristics of the composition of the crowd, the disturbance of traffic, the business community decentralization, the regional competition the services supporting and urban development.With the development of large-scale community, the dependence which rooted on community, such as community-scale commercial development and community relations area, the business community in a reasonable position in the community, the business community development model . the business community planning and investment, will affect the profitability of the community commerce, thus affecting the trends and development prospects of community commerce's profit model in China.