During the Vilnius Innovation Forum ‘Innovation Drift’ business consultant and partner at consulting company ‘Business Models Inc’ Karlis Apkalns advised how to stay competitive in the innovation age. According to him, it is vital to react to changes quickly.

The speaker emphasizes that models of business management are prone to change. If in the past manufacturing the product was the only thing needed, later on competition has forced businesses to offer the best product. After a while, companies had to create sales teams and become experts on the product, its price, customers and sales. What should business expect in the future?

According to K. Apkalns, rules of natural selection apply in the business, thus entrepreneurs should remember the words of Charles Darwin.

“We survive not because of our intelligence or accumulated resources, we survive because of our ability to reach to changes and adapt“, the Latvian explains.

Speaker says that natural selection in the business happens all the time. Among the busts are manufacturers of audiotapes, pagers and film.

“Digital camera was created by engineer, hired by Kodak. However the company did not have the courage to move away from their initial product and reorient to manufacturing digital cameras. You might say that their new product actually killed them“, says K. Apkalnis

He says entrepreneurs have to create new business models.  According to the lector, the book ‘Business Model Generation‘ by Alexander Osterwalder contains the information, how the businesses should change and create value for their customer. The book lists 9 key elements that have to be taken into account by the entrepreneur. They include, knowing your target audience and keeping your relationship positive as well as not having your expenses higher than revenue.

„Statoil‘s biggest profit today isn‘t made from gas. They have been changing their business model and remained a successful company. Their cafe in Vilnius is a good example“, the lector provides an example.

Vilnius Innovation Forum hosted over 1500 innovators, inventors and representatives of international organisations. Special sessions were dedicated to IP, drones, space technologies, bio economy and creative industries.

The event was organized by the Ministry of Economy of Lithuania and Agency of Science, Innovation and Technology (MITA). The event is sponsored by the European Regional Development Fund.