Creator

In Do Some Business Models Perform Better than Others? four basic business models are identified. A Creator buys raw materials or components from suppliers and then transforms or assembles them to create a product sold to buyers. This is the predominant business model in manufacturing. A key distinction between Creators and Distributors (the next model) is that Creators design the products they sell. We classify a firm as a Creator, even if it outsources all the physical manufacturing of its product, as long as it does substantial (more than 50% of the value of) design of the product.