Understanding business model canvas for smart cities: A theoretical review

Abstract

Cities form a major progress in the advancement of a country’s economy. Cities are defied with increasing population growth and need to implement smart solutions to become more buoyant to economic, environmental, and social challenges posed by ongoing urbanization. Developing a smart city in a developing economy becomes a challenge with the other forefront challenges. The high amount of initial financial investments needed for consolidation of different departments and sectors and lack of a systemic approach may have a negative impact on industry growth. Cities benefit from a transparent overview of best practice solutions to become smarter and from identifying best-suited solution providers. Companies that make cities smarter benefit from becoming more visible to cities around the globe with their newly developed or proven solutions. Business models help accelerate the adoption of smart technologies. This paper conducts a theoretical review on the concept of business model canvas for smart cities. It studies the economics of smart cities globally. Case studies of smart cities around the globe are discussed with the conduction of business model canvas for different services. The case studies are reviewed to understand the importance and challenges of the application of business model canvas for different services in smart cities. Smart cities will eventually deliver true convergence of lifestyle and technology and improve the overall quality of life for citizens.