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María Elipe

As we already know, business World is unstoppable and borderless. This time, we will talk about a business model which is in full expansion, generates new market dynamics and attracts entrepreneurs and businessmen’s investments. It is business on demand.

The growth of business on demand involves changes in economic patterns and forms of consumption in a whole society

How do business on demand grow out?

Business on demand emerge with the aim of meeting the user’s needs, making it possible to connect through the Internet thousands of people who are willing to fulfil them in exchange for money. On the other hand, it can also refer to companies that offer flexible consumer services. In conclusion, business on demand pursue that users find what they are looking for in a simple and accessible way.

Some examples…

Uber and Airbnb are two companies which follow this business model and have succeeded. They offer transport and accommodation services that were traditionally hired personally, by phone or, lately, online. Nowadays, you can hire them just clicking the icon on the application in our Smartphone, accessing the office available for the whole linked community.

Netflix, the company who has shaken up the audio-visual market, lets its users watch as many series and films as they want through a monthly paid subscription. Whatever you want, whenever you want.

Advantages and Disadvantages of business on demand

That is the matter! Every business model has its positive points but also disadvantages. These are the main ones:

 Advantages of business on demand

  • They let their users consume the services whenever they want and, sometimes, with lower prices.
  • The way of consumption is easy and instantaneous
  • They are an opportunity for labour flexibility and transformation of companies thanks to Technology.

 Disadvantages of business on demand

  • As an emerging model, regulating systems might not be developed enough, affecting negatively both companies on demand and the market in general.
  • The growth trend of this business model involves a moderate increase of direct competitors so businesses on demand must focus on differentiating from the rest.


“Only those who dare to fail greatly can ever achieve greatly”.

Robert F. Kennedy


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