Business Models and Business Model Descriptions : A Research Synthesis

In this paper we provide a synthesis of the research that has been performed on business models and business model descriptions. We address a series of seven research questions aimed at exploring the nature of business models and business model descriptions to better understand how they are and can be used in accounting and auditing. Our focus is on how business models are defined, what their elements are, and how they can be presented to stakeholders to enable and enhance their understanding of an entity's value creation process. We identify research that defines the purpose, components, and uses of business models, and find an extensive management literature in these areas. We also identify research on business model descriptions, including how business models should be described and evaluated, what expertise is needed to create and use a business model description, and what are the challenges to preparing, and using a business model description. Based on our literature review, we conclude that research into business model descriptions is limited and suggest possible areas of future research