Case study: Can one business unit have 2 revenue models?

Bertini, M and Tavassoli, N T (2015) Case study: Can one business unit have 2 revenue models? Harvard Business Review, 93 (3). pp. 121-123. ISSN 0017-8012

Abstract

The article presents a business case study involving a fictitious pharmaceutical firm in the process of merging two business units. One unit, Siliquent, sells supplies for gene-based diagnosis while the other, Teomik, manufactures research equipment for gene-based studies. Both units are facing heightened competition due in part to the expiration of patents they held, and in response have adopted different business models. The executive charged with overseeing the merger must decide whether to choose one of the models for the combined entity, or let them continue functioning as they have been