An assumption of this paper is that investments in business model development are only beneficial when firms understand how to deal with both customer and supplier interdependencies. We argue that an inadequate understanding of how to align supply strategy and business model design has hampered knowledge development within business model research.

We review the literatures on business models and supply strategy to identify the conceptual intersection between these interrelated areas. We synthesize the fields of supply strategy and business model research to provide to an improved understanding of firms should incorporate a supply perspective in business model design.