In the book the personal MBA by Josh Kaufman there is a fitting example of the 12 ways economic value is created in a market economy.
These are:
1. Product - Create a single tangible item or entity, then sell and deliver it for more than what it cost to make.
2. Service - Provide help or assistance then charge a fee for the benefits rendered.
3. Shared Resource - Create a durable asset that can be used by many people, then charge for access.
4. Subscription - Offer a benefit on an ongoing basis and charge a recurring fee.
5. Resale - Acquire an asset from a wholesaler, then sell that asset to a retail buyer at a higher price.
6. Lease - Acquire an asset, then allow another person to use that asset for a pre-defined amount of time in exchange for a fee.
7. Agency - Market and sell an asset or service you don’t own on behalf of a third-party, then collect a percentage of the transaction price as a fee.
8. Audience Aggregation - Get the attention of a group of people with certain characteristics, then sell access in the form of advertising to another business looking to reach that audience.
9. Loan - Lend a certain amount of money, then collect payments over a pre-defined period of time equal to the original loan plus a pre-defined interest rate.
10. Option - Offer the ability to take a pre-defined action for a fixed period of time in exchange for a fee.
11. Insurance - Take on the risk of some specific bad thing happening to the policy holder in exchange for a pre-defined series of payments, then pay out claims only when the bad thing actually happens.
12. Capital - Purchase an ownership stake in a business, then collect a corresponding portion of the profit as a one-time payout or ongoing dividend.
