Year of Graduation
Development of target business models for Russian electric companies
Faculty of Management
In this research the target business models for Russian electric companies have been developed. They are applicable to Russian conditions and potentially they can improve the efficiency of the company that uses one of them. Respectively the purpose of the research is to create the target business models using business models of foreign electric companies or their elements, which may be used in the Russian conditions or adapted to them. It’s necessarily to perform the following tasks for achievement of the target:· To identify and classify the existing approaches for defining the company's business model;· To analyse the existing researches related to the choice of business model and its adaptation mechanisms;· To make a sample of electric companies and to define the business models of the companies included in the sample;· To create a typology of the business models;· To find out of the best practices;· To analyse the applicability of business models to Russian conditions;· To create the target business models.In this master’s thesis the object of research is the world electric power industry and the subject is business models of electric companies.The theoretical part of the research involves the analysis of various approaches to the definition of the term "business model" and its elements, as well as an overview of researches related to the processes of business models’ selection and adaptation which are both base and complement of the research’s empirical part.The methodology of the research is developed in such way to cover the worldwide electric power industry. As a result the research uses open sources of information and applies statistical methods for the sampling of both countries and companies. The survey’s techniques are the following:· Analysis of the publications devoted to the description of both the world electric power industry and the electric power industries of individual countries;· Grouping of countries with similar ways of organizing the electric power industry on the basis of existing researches;· Sampling of countries with the typical signs of the received groups;· Gathering of information about existing electric companies in the selected countries;· Sampling of companies;· Describing of the business models of selected companies;· Evaluating of the companies` efficiency in terms of some pre-selected indicators;· Comparison of the companies’ business models identified as "efficient";· Developing target business models based on the previous step separately for companies with potentially competitive activities (in this research, it’s generation only) and naturally monopolistic activities (it’s electricity transmission and distribution);· Verification of the relationship between the calculated measure of the efficiency and the interconnection of the company's business model and target business model.The undertaken research has allowed to make a number of conclusions. First of all, neither the concept of business model is yet fully investigated or formalized nor there are no accepted typology of business models and even the common criteria for identifying types. Secondly, the most appropriate way for sampling of the companies from worldwide is to combine two types of stratified selection: the stratified selection with searching of typical objects to make sample of countries and the probability stratified sampling to select the companies. Thirdly, the similar companies (in terms of efficiency level) have common features. Fourth, it is possible to develop the target business model which can potentially improve the efficiency of the company if adapted, based on the business models of the efficient foreign companies. And finally, the comparison of developed target business models with real business models of Russian electric companies (not participating in the development of the target business models) showed that the received business models are really closer to the real business models of efficient companies.