Sound Business Models for Healthy Visual Arts Ecology and Publicly Funded Organizations - Essay Example

? Sound Business Models Are a Necessary Component in a Healthy Visual Arts Ecology and Essential for Most Publicly Funded Organizations Institution: Tutor: Course: Date: Executive Summary The nature of business is a constantly changing matter and so is the nature of the models that businesses use to drive their growth prospects. As such, there is always an increasingly need for businesses to develop more unique and specific models that can act as alternatives to sustain the growth prospects of organizations, especially those in the visual arts sector. The main aim for developing this report is to argue out the arguments in favour and those against the thesis statement of “sound business models being essential components in a healthy visual arts ecology”, as having been predicated on the same and the realization in most funded government organizations. The focus would be on what can be changed as well as the aspects that have so far worked well in the same (Beder, 2006). In general perspectives, most of the business models that are being used in sector of visual arts are perceived as generally weak, and mostly subject to vulnerability conditions that have since hindered or even reduced to a great proportion the funding to the sector. This is a belief that is widely supported by research by various scholars who have once studied the same. For instance, most organizations in the visual arts sector are considered to have been under-capitalized, with their reserves being barely minimal to even support growth ideas and projects in the organizations. The effect of this is that the organizations can barely protect themselves from financial crisis moments in which case even the necessary reforms in the sector are thwarted. However, in real sense, such organizations if they can exploit their potentials have the capabilities to increase their activities hence, be able to convert some of the losses they have incurred into additional income. In this paper, I will seek to present the arguments that are against and those that are for the use of sound business models in visual arts ecology as a healthy component. The achievement of this will be made possible through the analysis of some of the obstacles that have hindered organizations from achieving their targets in ensuring that they have sound business models. The sector of visual arts is very lucrative and entails a lot of creativity hence, the need for firms that seek to invest into it to have updated and modern, sound business models that can enhance substantial growth in the same. However, like any other sector in the economic structure of a country, it is faced with challenges that have threatened to derail projects and stall development of business models intended for its use (Milne, Tregidga & Walton, 2009). Contemporary visual art world and arguments In the modern world of visual arts, there exists a strong flavor of individualism in which the economic values for the development of such business models are enhanced. When this is considered from the perspective of a business growth concept, several problems may arise leading to its dispute. One such issue may be that by business being a collective issues, at times it may be extremely difficult for the organization to attain anything good if it does not consider or understand the value of the same. For a start, this has been the main argument against the establishment of sound business models by organizations (Ewing, 2010). The second argument against this development of business models is that while the business field warrants free entry and exit of firms and ideas, and as such just presents more challenges to businesses than solutions. For instance, it is viewed that such a free entry does not imply that the increased customer base will lead to translated high revenues by the firm (Bundy, 2002, p.45). Consequently, even the overheads of the business and the surpluses may not necessarily imply that there will be increased business activities hence, high revenues. The opposite is always true with firms likely to incur most costs with such moves. Thus, with a look at these occurrences, it is pretty obvious that the business should consider wider options beyond just having developed models in the visual arts ecology (Laidler & Donaghy, 1998, p.40). Finally, sound business models may not be widely accepted in the visual arts ecology even by those who fund such projects should they have a feeling that difficulties may be experienced in trying to deal with the issue of underperformance by organizations. As such, those who may wish to fund the business models become reluctant and instead they opt to invest in other areas and not models for visual arts ecology (Van, 2013). In light of these highlighted points, I would like to point out that for the businesses to acquire and put into operation sound models, they need to have their discomforts economy and businesses conclusively debated upon so as to bring into light any forms of sustainability that they may have. Second, such organizations that are having difficulties in integrating sound business models into service delivery for their customers and clients need to open up their premises to receipt of more customer audiences, with the main being to attract more of the resources that lacks in the firm that if availed can be used to enhance development of sound models (Laughlin, 2013). Consequently, such firms with issues of business model integrations needs to invest more of its assets and exploit any expansion opportunities it may have at its disposal that can enable it earn revenue significant for the attainment of its expansion programmes. In order that players in this sector of visual arts to reap from it, challenges such as those outlined above need to be overcome. In essence, this sector has the capability to creatively build on better businesses and deliver great art work to every person engaged in it (Oakes, Townley & Cooper, 1998). Strengthening of the visual arts ecology business models The key idea in this basis is to realize that even among organizations that have sought to establish or that have established sound business models, it is imperative that they change course instead of always having to work on one single model that appears to be functioning well. When considering the manner in which technological changes have disrupted the conduct of activities through the adoption of new digital technologies, a firm operating in visual arts ecology will need to ensure that it copes up with new technologies for it to strengthen its models. The reason for this is that most of these models are designed and developed through highly digitalized technological expertise hence; their successful put into use will also need to be within the same technological peripheries (Chong, 2007). Considering the definition of a sound business model as being that in which the organization undertakes financial transactions which it records in its financial statements and management accounts for enabled development projects. Therefore, when an organization outlines a clear rationale, the expected output may be that which will spur its business models to higher growth levels. Such a consideration when perceived from the line of ensured growth, the business may be in a position to model its business solutions in a manner that can effectively suit its production needs (Walters-York, 1996, p.158). Another argument that can be fronted in support of the development of sound business models by would be that against the odds for a properly working and functional management system may require set up of systems that can accommodate appropriate customer satisfaction issues, enhancement of financial bases for the firm, and internal processes that have positive impacts on the growth prospects. In this light of instituting models, a business will highly benefit from a sound model than if it did not have such a model at all operational (Byrnes, 2009, p.210). For example, when designing the model or seeking approval for its functionality, some of the pertinent questions that a system’s developer for the business may ask are such as a. How best can the business model look after the satisfaction of the needs of the customers? b. How best can the model enhance good relations between the firm and its funders as well as the suppliers? c. Can an adoption of a sound business model aid the business in meeting its set goals and objectives in line with its mission, vision and goals? d. Considering the above questions, if the business seeks to satisfy its donors, suppliers and customers, how best can the business use the available processes and model to enhance its productivity prospects? Those who have always supported this stand in management have it that the truthful answering of the above identified questions is the core point for the successful development of a business model by a firm, and a successful application of it in its operations. The pretty obvious reason is that if a firm seeks at fulfilling these questions and goals, it would easily invest in the development of such a model. Furthermore, the identification and recognition of the business model as a tool for enhancing the whole organization’s processes, can enhance the understanding of impacts that may result from the rewards to be obtained form it (Jack, Davison & Craig, 2013). For instance, for the business to be rewarded through such a model, it needs to have appropriate corporate and personal networks with all its customers and suppliers, identify the key concepts that can support its brand of products and conceptualize on other contributors such as volunteer, board members and interns whose skills can be merged perfectly with a functioning model to enhance growth (Dressler, 2004, p.145). In addition to the above argument, should the organization have appropriate measures by which it can chart the acquisition and development of other income generation alternatives, the incorporation of a functioning business model into the same will ensure that the execution of its strategies are pegged to attainable and achievable financial streams. In visual arts ecology, the benchmark is usually the attainment of healthy components that are essential for publicly funded organizations. In certain occasions, a company may be in its initial growth stages and seeks the adoption of such a sound model. If such a scenario were to occur and the firm would appear concerned about exhibiting characteristics of success, it would ensure that it adheres to means that can attractively lure investors into its path. Subsequently, it should be agile in its operations by being able to generate and innovative ideas and constantly maintaining change issues. Finally, it is essential that the organization executes all its strategies in a cost-effective and efficient manner. All these aspects matter a great deal since if the organization intends to have its brand of products being attractive; it would need to ensure that the goals of its visual arts business are factual, realistic, compelling and attractive to the willing investors and funders (Oakes & Oakes, 2012). Consequently, its internally operating systems should be very efficient and allow for the attainment of effective communication within and without the enterprises. Conclusion In concluding this analysis, a few notable issues that are crucial to the development of a sound business model for the visual arts ecology are observed. While this paper appears to have established more of pros than cons for the visual arts model, there needs to be balance that is struck between the actions that a business takes in improving its productivity. First, it appears that the developments of business skills are essential towards the improvement of financial management prospects for the organizations. There is no obvious way through which a business will successfully execute sound business model concepts without taking into consideration the economical aspects of scarcity of resources. After realizing that certain resources it may need for expansion and development of its model are scarce, the business managers will need to take necessary measures in ensuring that the same is adequately rectified and corrected; without which, it will always run into high costs (Haskins, 2011, p.59). Finally, in this paper, I have sought to explain the various aspects that an organization needs in the attraction of both the financial players in the organization’s structure. Consequently, a business may integrate into its structure a programme that identifies and suggests for rethinking, operations that are not integral to the culture of the organization. Should any of the available means within its reach for establishment of a sound model fail to materialize, then as a recommendation, I would advice for the outsourcing of such relevant expertise from the relevant individuals or organizations that have such kind of a skill. This way, the organization will continue enhancing its relationships with other firms which may then lead to improved growth in the area of production specialty. Bibliography BEDER, S. (2006). Environmental principles and policies: an interdisciplinary introduction. Sterling, Va, Earthscan. BUNDY, W. M. (2002). Innovation, creativity, and discovery in modern organizations. Westport CT, Quorum Books. BYRNES, W. J. (2009). Management and the arts. Amsterdam, Elsevier Focal Press. CHONG, D. (2007). 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