Usiness Model Analysis Of Shenzhen Municipal Design&Research Institute

When China is experiencing the transition from planned-economy to market-economy,changes in the municipal design&consulting industry accordingly happens: practitionersare diversified, and the domestic market is expanding globally while its monopolizedsituation is gradually broken. Those changes, on the one hand, promote the formation ofscale economy and help create more benefits; on the other hand, pose more challenge toenterprises on creation and development. Therefore, in view of the external fiercecompetition and the internal industrial operation, the municipal design&consulting industryhas to think over the issues of creation and development. Radically speaking, the industryshould make attempt to work out how to realize the value recreation of enterprises undercurrent condition, that is, the issue of business model innovation. This paper is dedicated tocoming up with OSES (On-Stop Engineer Service), a new business model which carriesgreat significance to enterprises for creating, conveying and obtaining new value.Focusing on the business model innovation of municipal design&consulting industry,this paper firstly introduces the features of this industry, and then discusses the feasibilityand necessity of the innovation from the external macroscopic and internal microscopicperspective. For the second part, this paper attempts to present the general definition ofbusiness model by making comparison between domestic research on business model andresearch abroad, analyzing the nine factors of business models, and discussing cases ofinternational engineering companies. Furthermore, it also elaborates on EPC businessmodel from aspects of value creation, business model innovation and development bytaking four international engineering companies for instances. Finally, the platform-basedbusiness model and the EPC model combined from the positioning, stakeholders, profitmodel, resources and capabilities, as well as cash flow and other five major businessmodel elements as a starting point, raised OSES platform for new business models. Finallyfrom market positioning, stakeholders, business model, resources and capacity, cash flowsuch as these five aspects, undertook a feasibility analysis to OSES business model.