Contribution to Book
Business Model and Financial Management
Business Model and Financial Management
(2012)
Abstract
Business Models and Strategic Management: A New Integration is a seven-chapter book published by the Business Expert Press in 2012 and written by Francine Newth, associate professor of strategy at the School of Business at Providence College. The author says that an effective strategy derives from a fundamental understanding of how a company operates, which is defined by its business model. She explains the elements of a business model and how to integrate it with strategic decision making, providing what the she calls a more "real-world" guide to effective management. She provides practical insight for managers and conceptual models grounded in research and current business examples. Each chapter includes discussion guides and a practical exercise based on real-world companies. Chapter 2, Business Model and Financial Management (21 pages), explains the factors of financial viability. The author posits that effective management requires an understanding of underlying assumptions of a business's strategic plan and the metrics that drive its operational plan. She outlines financial analysis through cost drivers, revenue drivers, and profit drivers, and explores three central areas in financial decision making: capital budgeting, capital structure, and the use of capital. There are three discussion guides based on Google, Best Buy, and Tumblr, and an exercise on financial metrics based on the business model of Best Buy.
Keywords
- General management,
- Strategic planning,
- Business models,
- Competitive advantage
Disciplines
Publication Date
December 14, 2012
Editor
Business Expert Press
Publisher
Harvard Business School Publishing
Citation Information
Francine Newth. "Business Model and Financial Management" CambridgeBusiness Model and Financial Management (2012) - 21 Available at: http://works.bepress.com/francine-newth/4/