Business Model Development at Greenlight
Tony Allen developed Greenlight, an innovative automobile monitoring system that alerts vehicle owners when service is needed and connects them with available service providers. The product was designed to help boost sales and customer loyalty for businesses in the automotive oil change and lubrication services industry, while also helping people care for their vehicles. After raising a small amount of seed funding, Tony built a minimum viable product and began preliminary testing. After receiving positive feedback from potential customers, he faced a critical decision: which business model to adopt. He considered three options: Business to Business (B2B), Business to Customer (B2C), or a combination of both.
After reading this case, the students should be able to:
1. Identify the aspects of a changing environment that are creating new challenges and opportunities in a particular industry
2. Clarify how such environmental forces and factors lead to new market opportunities
3. Examine how customer needs and preferences shape the design of a firm’s value proposition
4. Evaluate the effectiveness of different business models and their implications for creating a sustainable competitive advantage
5. Analyze and compare commercialization strategies for different business models