Stanford Social Innovation Review : Articles : Ten Nonprofit Funding Models (March 16, ... - 0 views
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For-profit executives use business models—such as “low-cost provider” or “the razor and the razor blade"—as a shorthand way to describe and understand the way companies are built and sustained. Nonprofit executives, to their detriment, are not as explicit about their funding models and have not had an equivalent lexicon—until now.
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When a person says that a company is a “low-cost provider” or a “fast follower,” the main outlines of how that company operates are pretty clear. Similarly, stating that a company is using “the razor and the razor blade” model describes a type of ongoing customer relationship that applies far beyond shaving products.
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The value of such shorthand is that it allows business leaders to articulate quickly and clearly how they will succeed in the marketplace, and it allows investors to quiz executives more easily about how they intend to make money. This back-and-forth increases the odds that businesses will succeed, investors will make money, and everyone will learn more from their experiences.
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10 nonpforit funding biz-models: various strategic approches towards operational sustainability. This links really well to the harvard business review (HBR) practical table that outlined: strategy, business model, tactics, values. I have put a floating bubble on the page with the link to the HBR document. Donwloadable as A PDF.
