Beyond The Low-cost Business: Rethinking The Business Model

Beyond the Low-Cost Business Also by Josep Francesc Valls Giménez REINVENTAR EL NEGOCIO NUEVAS TENDENCIAS EN REDUCCIÓN DE COSTES Bases Conceptuales y Aplicaciones Prácticas (with Vila, M., Cuatrecasas Arbos, L., Carol, M., Gadea, A. and Amat Salas, O.) MODELS D’EXPANSIÓ COMERCIAL Sis Casos i una Estratègia LA EXPANSIÓN DE LA MULTINACIONAL ESPAÑOLA Estrategias y Cambio (with Puig-Bastard, P., Ansotegui, C., Comajuncosa, J., Mendoza, X. and Simón, S.) FENÓMENO LOW COST El Impacto en el Factor Precio GESTÃO INTEGRAL DE DESTINOS TURÍSTICOS SUSTENTÁVEIS (with Vila, M. and Guzmán, F.) GESTIÓN DE DESTINOS TURÍSTICOS SOSTENIBLES (with Bustamante, X., Guzmán, F. and Vila, M.) LA IMAGEN DE MARCA DE LOS PAÍSES PRENSA Y BURGUESÍA EN EL S. XIX ESPAÑOL LA JUNGLA COMUNICATIVA, EMPRESA Y MEDIOS DE COMUNICACIÓN EN ESPAÑA GESTIÓN DE EMPRESAS DE TURISMO Y OCIO: El Arte de Provocar Satisfacción. LAS CLAVES DEL MERCADO TURÍSTICO Cómo Competir en el Nuevo Entorno LA IMAGEN DE MARCA DE LOS PAÍSES Beyond the Low-Cost Business Rethinking the Business Model Josep Francesc Valls Giménez ESADE Business School, Spain Translated by Gabriel Genescà and Benjamin Rowdon © Josep Francesc Valls Giménez 2013 Foreword © Eugenia Bieto 2013 Softcover reprint of the hardcover 1st edition 2013 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No portion of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, Saffron House, 6–10 Kirby Street, London EC1N 8TS. Any person who does any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted his right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2013 by PALGRAVE MACMILLAN Palgrave Macmillan in the UK is an imprint of Macmillan Publishers Limited, registered in England, company number 785998, of Houndmills, Basingstoke, Hampshire RG21 6XS. Palgrave Macmillan in the US is a division of St Martin’s Press LLC, 175 Fifth Avenue, New York, NY 10010. Palgrave Macmillan is the global academic imprint of the above companies and has companies and representatives throughout the world. Palgrave® and Macmillan® are registered trademarks in the United States, the United Kingdom, Europe and other countries. ISBN 978-1-349-44719-0 ISBN 978-1-137-27753-4 (eBook) DOI 10.1007/978-1-137-27753-4 ISBN 978–1–137–27752–7 This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. Logging, pulping and manufacturing processes are expected to conform to the environmental regulations of the country of origin. A catalogue record for this book is available from the British Library. A catalog record for this book is available from the Library of Congress. 10 9 8 7 6 5 4 3 2 1 22 21 20 19 18 17 16 15 14 13 Printed and bound in Great Britain by CPI Antony Rowe, Chippenham and Eastbourne Contents List of Tables and Figures viii Foreword xi Acknowledgements xiii Introduction 1 1 The Birth of the Low-Cost Phenomenon 1.1 1997 to 2004 1.2 2004 to the credit crunch and following 1.3 Consumer shifts 1.3.1 Towards the own-label mainstream market 1.3.2 Towards own brands 1.3.3 Hybrid consumption 1.4 The consumers’ new concept of price 1.4.1 Classic price sensitivity 1.4.2 The new concept of price sensitivity 1.4.3 Four groups of buyers 1.5 The new representation of price and of consumption 2 Reinventing Your Business Model (RYBM) 2.1 Innovation developm