What is the Transformational Business Model? Definition and meaning

Transformational Business Model

Definition: the Transformational Business Model is a business model that is able to change the dominant business model, typically (but not necessarily) by making use of new disruptive technology.
A business model represents a plan or recipe for the successful operation of a business, identifying source of revenue, the intended customer base, products, and details of financing. Those features interact in complex ways to determine a company’s overall success. The dominant business model in any given industry tends to evolve over time. Gradually a new one is succeeding in replacing the existing dominant one, typically by leveraging a new technology.

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