I read this GigaOm post on a startup shutting its doors.
What was funny is the founder made this point.
“It may seem surprising that a seemingly successful product could fail, but it happens all the time,” Pool said. “Although we arguably found product/market fit, we couldn’t quite crack the business side of things.”
Here is a post on advice to startups that focuses on the business model with a nice explanation of the equation to solve. If you don’t have a business model that works then you will no survive and your product is not successful in the eyes of the business owners.
The Essence of a Business Model
Luckily I figured out the business model problem 5 years ago and have told my business partners that the #1 thing we will do is be innovative in developing business models. We will do business different than others and then fit the technology.