PPT Slide: Transforming Business Models: Dow Corning's Strategic Shift

Transforming Business Models: Dow Corning's Strategic Shift PPT

This PPT slide, part of the 30-slide Business Model Innovation PowerPoint presentation, presents a case study of Dow Corning, illustrating how the company adapted its business model to target low-end customers through a distinct business unit. This strategic shift allowed Dow Corning to explore new market opportunities without undermining its traditional high-margin offerings.

On the left side, the established business model is outlined. It highlights a customer value proposition focused on customized solutions and negotiated contracts, which cater to a more premium clientele. The profit formula relies on high-margin, high-overhead retail prices that support value-added services. Key resources and processes emphasize R&D, sales, and service orientation, indicating a complex operational structure designed for high-touch customer interactions.

Conversely, the right side details the new business unit designed for low-end customers. This model is characterized by a simplified value proposition, offering no-frills, bulk pricing sold directly through the internet. The profit formula shifts to spot-market pricing with lower overhead, enabling the company to maintain profitability despite reduced margins. The focus on high throughput indicates a streamlined operation aimed at efficiency. Key resources and processes are adapted to include an IT system that emphasizes low-cost processes and maximum automation, showcasing a significant departure from the established model.

This analysis reveals how Dow Corning successfully navigated market segmentation by creating a separate unit that meets the needs of a different customer base while preserving its core business. The insights gained from this case can guide other organizations in exploring innovative strategies for growth without compromising existing revenue streams.

This slide is part of the Business Model Innovation PowerPoint presentation.

Download the Full Presentation

EXPLORE MORE SLIDES FROM THIS PRESENTATION

EXPLORE MORE PRESENTATIONS ON

Innovation Management Business Model Innovation Business Model Design Value Proposition Customer Value Proposition Market Segmentation Sales Innovation

Are you familiar with Flevy? We are you shortcut to immediate value.

Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations

Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.

Flevy is the world's largest knowledge base of best practices.

Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.

Read Customer Testimonials

"The wide selection of frameworks is very useful to me as an independent consultant. In fact, it rivals what I had at my disposal at Big 4 Consulting firms in terms of efficacy and organization."

– Julia T., Consulting Firm Owner (Former Manager at Deloitte and Capgemini)

"As a young consulting firm, requests for input from clients vary and it's sometimes impossible to provide expert solutions across a broad spectrum of requirements. That was before I discovered Flevy.com.

Through subscription to this invaluable site of a plethora of topics that are key and crucial to consulting, I

... [read more]

– Nishi Singh, Strategist and MD at NSP Consultants

"One of the great discoveries that I have made for my business is the Flevy library of training materials.

As a Lean Transformation Expert, I am always making presentations to clients on a variety of topics: Training, Transformation, Total Productive Maintenance, Culture, Coaching, Tools, Leadership Behavior, etc. Flevy

... [read more]

– Ed Kemmerling, Senior Lean Transformation Expert at PMG

"FlevyPro has been a brilliant resource for me, as an independent growth consultant, to access a vast knowledge bank of presentations to support my work with clients. In terms of RoI, the value I received from the very first presentation I downloaded paid for my subscription many times over! The

... [read more]

– Roderick Cameron, Founding Partner at SGFE Ltd

"As a consulting firm, we had been creating subject matter training materials for our people and found the excellent materials on Flevy, which saved us 100's of hours of re-creating what already exists on the Flevy materials we purchased."

– Michael Evans, Managing Director at Newport LLC

"If you are looking for great resources to save time with your business presentations, Flevy is truly a value-added resource. Flevy has done all the work for you and we will continue to utilize Flevy as a source to extract up-to-date information and data for our virtual and onsite presentations!"

– Debbi Saffo, President at The NiKhar Group

"Flevy is our 'go to' resource for management material, at an affordable cost. The Flevy library is comprehensive and the content deep, and typically provides a great foundation for us to further develop and tailor our own service offer."

– Chris McCann, Founder at Resilient.World

"As a small business owner, the resource material available from FlevyPro has proven to be invaluable. The ability to search for material on demand based our project events and client requirements was great for me and proved very beneficial to my clients. Importantly, being able to easily edit and tailor

... [read more]

– Michael Duff, Managing Director at Change Strategy (UK)