Business Model Innovation Based On Value Chain Reconstruction

As the enterprises experienced numerous competitive practices, the concept that business model is a way to get the key factors of competitive advantages has been recognized by more and more enterprises’ senior managers. As Peter Drucker view that: the competition among enterprises gradually changed into the competition between business models, that is to say the performance of enterprises’ competition is the possession of sustainable competitive business model. Managers perceived that the survival and future development of their enterprises depends largely on the newly and more competitive business model as the innovation of business model can create more valuable opportunities. Both business models and value chains have emphasized the logic of value creation and create enterprises’ competitive advantages, which enlighten us that we can choose value chains as the entry point for the research of business model innovation. Analyzing the innovation of business model from the perspective of value chain reconstruction can provide newly ideas for the development of enterprises in the era of Internet economy effectively.Firstly, the paper introduced the significance, purposes and methods of the paper and hackled the domestic and foreign researches about business model innovation. Secondly, the paper elaborated the domestic and foreign relevant theoretical basis and then analyzed the routes of business model innovation from two perspectives: the first one is the interaction between value chain and business model and the other one is the reconstruction of value chain. In the fourth part of the paper, the author chose Haier appliances as an example and researched its business model innovation. In the last part the paper ended up with the shortcomings and innovations of this paper.From this study,we can find that the sustainable competitive advantage of enterprises is inseparable from business model innovation. The conclusions for the path of business model innovation are: From the interactive relationship between value chain and business model, three paths are raised as follows: the value chain innovation, towards the key value chain and control of the value chain. From the perspective of value chain reconstruction, the based on market position,operating system and the profit model are highlighted as the three paths of business model innovation. Combined with the networked and business model innovation of Haier appliances, it tells us that there is no universal business model. The successful business model realized with the success of dynamic adaptation. The enterprises should not only pay attention to the customers, but also take the role of the staff into account and share values with other stakeholders at the same time.