INDIAN INSTITUTE OF MANAGEMENT KOZHIKODE
PGP
Course Outline
Course Code & Course Title Business Models for Digital Economy
Course type Core
Pre-requisites (if any) Foundation courses covered in Term 1 & 2
Course Credit 2
Total no. of sessions 16
Session Duration 75 mins
Term Term- 3
Year and Batch 2022 – 23, PGP – 26
Sections (if any)
Instructor
Contact Details
Office
Consultation Hours
Introduction
In the era of born globals, market space is no longer confined to specific geography and clear-
cut industry boundaries. The rapid technological change is changing the boundaries of
organizations at various levels viz., industry, geography, organization form. Today,
organizations visualize themselves in a multi-dimensional space and construct that includes
physical, virtual spaces and transcend traditional boundaries. They face an ever-changing
environment including both local and global competition. Consequently, companies no longer
compete in the traditional ways for market share or industry position, but rather for market
space that either exists in multiple domains or is waiting to be created. Expanding world-wide
competition, fragmenting markets, and emerging technologies force established firms to
creatively navigate the new landscape through envisioning new combinations of resources. To
navigate effectively in this new landscape, build and maintain pole position requires new ways
of looking at business. This course moves away from a traditional view of looking at strategy
viz., competitive advantage to understanding business models, designing business models and
challenges / opportunities for business models in a digital economy.
Learning Outcomes/Course Objectives
At the end of the course, the participants would be able to
Describe the basic building blocks of a business model.
Interpret appropriate digital business model benchmarks from across industries and
local and global organizations.
Understand the steering and tracking processes in the evolution of a digital business
model.
Assess business models by integrating and applying core concepts to analyze,
initiate and implement suitable actions. (PLO 4.2)
Textbooks and Learning Materials
Text Book(s)
V. Venkatraman, The Digital Matrix. Penguin Random House India Pvt. Ltd., 2017.
A. Bock and G. George, The Business Model Book, Pearson, 2019.
Pedagogy/Learning Process
This course would use a variety of pedagogical tools such as lectures, case discussions, and
simulation to support the learning activities. The instructors expect the students to participate
actively in the class. Students are expected to read the textbook or other assigned readings
outside of class and participate in the critical evaluation of the material through class discussion.
Evaluation Components / Assessment of Student Learning
This section should focus on the various assessment/evaluation methods to be used, weights,
and a description about how the assessment would be done. In particular, why such assessment
methods are used.
Specific Weightage Description PLO
Assessment Tested
Method
Quizzes/Case 25% Students are expected to work in
& Simulation teams/individually (to be indicated in class) for
Analysis / case analysis as it would provide them
Class opportunities to explore diverse perspectives for
Participation a business problem. Some portions may be
evaluated individually.
Project / 20% This facilitates students to demonstrate the ability
Assignment to integrate the concepts and skills accumulated
in this course with real world problems and
business.
Mid Term 25% Evaluates the understanding of business models
Exam for digital economy, digital matrix, and ability to
design models using business canvas
End Term 30% This component evaluates student’s overall PLO 4.2
Exam understanding of various digital business models,
related concepts and frameworks.
Session Plan
S. Session Title Session Objectives Assigned Readings / Cases
No.
Module 1: Introduction to Business Models for Digital Economy
1 Introduction Need for a Case: Driving Digital Transformation at
to Business business model the DBS Bank
Models
Textbook chapter-1,2,3
2 Importance of Case: AccorHotel’s digital
business model transformation: A response to
hospitality disruptor Airbnb
Textbook chapter-1,2,3 and 4
3 Digital How companies Case: Digital Transformation at La
Matrix respond to Presse (A): Crafting a New Digital
digital Strategy
Scale, scope and
Speed of Textbook chapter-1,2,3 and 4
Digitization
Additional Readings for Module 1
Why business models matter
Re-inventing your business model
When your business model is in trouble
Four paths to business model innovation
The transformative business model
Competing against free
When one business model isn’t enough
Chatterjee, S (2013). Simple rules for designing business models. California
Management Review, 55(2). 97-124
Module 2: Designing Business Models for Digital Economy
4 Business Approaches to Case: Kindle Fire: Amazon’s heated
Model designing digital battle for the tablet market
Canvas business models
Using business
5 model canvas Case: Cuvva: Disrupting the Market for
for designing
digital business Car Insurance
models
6 Building blocks Case: Business Models and Fashion
of Business Models: Covetella Plan for Growth
model canvas
7 Building blocks Case: Paytm - Building a Payments
of Business Network
model canvas
8 Digital Understanding Simulation: Cloudstrat
Disruption Digital
disruption
9 Response to Case: Spotify: Face the music
digital
disruption using
Business models
10 Platforms Understanding Case: IBM and Linux (A)
Platforms and
ecosystems Textbook Chapter-6,7
Participating in
11 platform Case: Electronic Arts in Online Gaming
ecosystems
Textbook Chapter-6,7
12 Case: Google Inc.
Textbook Chapter-6,7
Additional Readings for Module 2
The digitalization triumvirate: How incumbents survive
The Best response to digital disruption
Is the threat of digital disruption overhyped?
What so many strategists get wrong about digital disruption
Finding the platform in your product
Pipelines, platforms and the new rules of strategy
Strategies for two-sided markets
Elements of Platform Leadership
Winner-Take-All in networked markets
Why Winner-Takes-All thinking doesn't apply to the platform economy
Platform Mediated Network: Definitions & Core Concepts (HBS Note)
Hypothesis-Driven Entrepreneurship: The Lean Startup (HBS Note)
A Note on Racing to Acquire Customers (HBS Note)
Module 3-Looking forward in the Digital Economy
13 Challenges Evaluating a Case: Airbnb, Esty and Uber: Growing
and thriving digital model from one thousand to one million
in a digital Challenges in a
economy customers
digital business
model
Textbook Chapter:10
14 Role of Privacy Case: Facebook-Can Ethics Scale in the
and Ethics in Digital Age?
digital business
15 Digital Models Case: Aadhaar: India's Big Experiment
in Emerging with Unique Identification (A)
Markets
16 Latest Trends in Project Presentation
digital economy
Additional Readings for Module 3
Thriving in an increasingly digital ecosystem
A framework for advancing your business model-chapter
Predicting the future of disruptive technologies: The Method of Alternative
How the Internet of Things changes business models
