What can Companies do?

Seperate Business Models

Seperate Organizations

The Problem The Benefit

• Channel conflict e.g. • Independent strategy
Airline booking and culture
• Loss of synergy • No interference from
parent company
 “Should we separate the new business model or should we keep the two
together?”

vs
“Which activities do I operate separately and which can I operate
together?”

Determing degree of seperation

Location Name Equity

Close to the company? Similar to parent? Wholly owned?

Organizational
Value Chain Environment
Which parts to share? Own Culture an values?
Experiment rapidly, iteratively and
inexpensively
• Embed projects
• Small projects
• Fail early
• Use resources but mainatain independence