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Introduction: The Business Model and Transaction Structure Read chapter Read first chapter

2013 | OriginalPaper | Chapter

5. Profit Model One: Fixed-Income, Remaining-Profit and Profit-Sharing

Authors : Wei Wei, Wuxiang Zhu, Guiping Lin

Published in: Approaching Business Models from an Economic Perspective

Publisher: Springer Berlin Heidelberg

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Abstract

Why have Gome and Suning chosen fixed rents plus commission as their profit mode? Why have Best Buy and Wal-Mart implemented the price margin model? Why has Best Buy, the world’s leading home appliance retailer, failed in China? Why did ITAT’s fortunes collapse so quickly? Answers to these questions can be found in contribution categories and profit modes, or more precisely, fixed and variable contributions, fixed incomes, price margins, commissions, and their various combinations.

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previous chapter Business Model Positioning and Strategic Positioning
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Footnotes
1
Adapted from public information on the Internet.
 
Literature
Alston L, Higgs R (1982) Contractual mix in Southern agriculture since the civil War: facts, Hypothese, and tests. J Econ History 42:327–353
Adapted from: Pan D, Yu F (2010) 06 CSPN: Raised up and cast down both attributed to alliance. PKU Business Review. pp 88–97 (In Chinese)
Wei W, Zhu W (2010) Reconstructing business models. The initial information came from financial statement of Shenzhen agricultural products and public information on the Internet. pp 30–32. China Machine Press (In Chinese)
Metadata
Title
Profit Model One: Fixed-Income, Remaining-Profit and Profit-Sharing
Authors
Wei Wei
Wuxiang Zhu
Guiping Lin
Copyright Year
2013
Publisher
Springer Berlin Heidelberg
Book
Approaching Business Models from an Economic Perspective

Print ISBN: 978-3-642-31022-5

Electronic ISBN: 978-3-642-31023-2

Copyright Year: 2013

DOI
https://doi.org/10.1007/978-3-642-31023-2_5

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