The investor perspective on business models

Disclosure of information on strategies, business models, critical success factors, risk factors and value drivers in general has gained importance in recent years. Both policy makers and academics have argued that the demand for external communication of new types of value drivers is rising as companies increasingly base their competitive strengths and thus the value of the company on know-how, patents, skilled employees and other intangibles. In parallel with the focus on disclosure of value drivers, the concept of business models has gained popularity. However, business models in terms of “ways of doing business” have always existed. The business model reflects the way of competing of the specific company, whether it concerns being unique or being the most cost-efficient company in the industry.