Business model innovation during Covid-19

Abstract

Companies have been forced to rethink how their business is conducted due to the pandemic caused by COVID-19. Disruptions in both local and global supply chains, demand uncertainty, and lack of fiscal stimulus are some of the critical aspects hindering the progress of these businesses. Delivering value through existing traditional means might not suffice in garnering enough customers and thereby revenues for companies to remain operational. As a measure, companies have planned contingencies, chalked out BCPs (Business Continuity Planning), and even remodelled their entire business to cater to newer demands of the customers. In parallel with this, there have also been an emergence few new trends, such as hyperlocal sustainability initiatives, no-touch delivery mechanisms, increased reliance on telemedicine, etc. The dynamic approach necessary to incorporate these new factors into businesses has altered the base business model companies had been working on. Through this study, we aim to understand the various business model innovations that have occurred due to COVID-19, with a particular focus on the low-income market and small businesses. As a secondary objective, we develop a framework to characterize successful/failed business model innovations based on the data points gathered through interviews and surveys from several businesses.