Business Model Innovation: A Process Model University of
Virginia - Darden School of Business Darden Case No. UVA-BP-0538
What is business model innovation? A business model is much more
than a description of a particular product or service. In
addition to describing the offering itself, it lays out the
value proposition behind it (i.e., how it creates value for a
defined set of customers). It also describes the capabilities
and resources needed to execute that value proposition and how
the organization will generate profits from doing so. The key
stages of business model innovation are exploration, pattern-
finding, concept development, prototyping, piloting, and
scaling. This technical note examines each of the stages in more
detail, with suggested techniques along the way. It includes
worksheets for students on value chain analysis, concept
development, and piloting. The note is meant to be used in
conjunction with "Leading Organic Growth: Module Caselets" (UVA-
BP-0541), which also includes an instructor’s