Business Models provide a framework for how to make or how to sell. Watch the video and answer the questions below.
The Explainer:
Conduct a little research on business models. Provide an example of how the industry assigned to you uses either the product and/or marketing business model.
Following is the assigned industry for you to focus on for this week’s business model, please use the first letter of your first name:
ADAutomobilesEHTravel TourismILHealth CareMPSporting GoodsQVHousehold/Personal ProductsWZTechnology & SoftwarePeer Reply Guidance:
Reply to this prompt by mid-week; and at least two colleagues by weeks end. Please review the Discussion Rubric for Timeliness expectations; initial response due Wednesday, peer replies start on Thursday
This discussion aligns with the following:
Rubrics
- BSB Discussion Board Rubric
reply to:
- Zamar Aguon posted Mar 8, 2026 10:44 PM
- Happy week 2 all, hope you are well, in good spirits, and great health!
- One of the most common business models used in the technology and software industry today is Software as a Service (SaaS). In a SaaS model, customers normally pay a recurring subscription fee to access software that is continuously updated and supported by that company. Instead of buying a product one and done, and owning it permanently, the customer pays for ongoing access, updates, and new features. This model has become extremely popular because it creates predictable recurring revenue for companies while also providing customers with software that improves over time. A solid example of how SaaS concepts are expanding beyond traditional software is Teslas Full Self Driving (FSD) system. When someone purchases a Tesla, the car already includes the hardware required for advanced driver assistance. However, the full self driving capability is delivered through software that can be activated through a subscription or purchased outright. This reflects a SaaS style approach because the real value comes from the software updates and continuous improvements to Teslas autonomous driving algorithms. As Tesla releases updates and improves performance, customers who subscribe continue receiving those upgrades without needing to buy new hardware. Another strong example is the Oura Ring, which combines wearable hardware with a software platform. Customers buy the physical ring to track health data like sleep patterns, heart rate, and activity levels. However, many of the advanced health insights and analytics are unlocked through a monthly membership subscription, which functions similarly to a SaaS platform. The company continuously updates its software and data analysis tools, allowing users to gain deeper insights into their health over time. Both Tesla and Oura show how the SaaS model is evolving. Technology companies are increasingly combining physical products with subscription based software ecosystems, turning one time purchases into long term customer relationships. This approach allows businesses to continuously improve their technology while maintaining steady revenue streams.
- I am curious what we all think about this trend. Do you think combining hardware with SaaS style subscriptions will become the standard model for technology companies in the future?
- Reference:
- Tesla. (2024). Full Self Driving capability. Retrieved from
- Oura Health. (2024). Oura Membership. Retrieved from
- Stay safe in the meantime.
- -Z
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- Last post yesterday at 6:01 PM by James Guo
Week 2 Discussion- James G.
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- James Guo posted Mar 9, 2026 5:15 PM
- The travel and tourism industry commonly uses a product business model because companies sell travel-related services directly to consumers. For example, airlines sell flights, hotels sell accommodations, and cruise lines sell vacation experiences. These services are the main products that generate revenue for businesses in the industry.
- At the same time, the travel and tourism industry also relies heavily on a marketing business model. Large travel companies invest in advertising, partnerships, and promotions to attract travellers. Travel websites such as Expedia, Airbnb, or Booking.com market hotels, flights, and vacation packages by promoting deals and making it easy for customers to compare options. Their success depends largely on how effectively they market travel services to potential customers.
- Overall, the travel and tourism industry combines both product and marketing business models. Companies provide attractive travel experiences while also using strong marketing strategies to compete for customers in a highly competitive, yet profitable, global market.

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