Ranking the Value prepositions in business models of IOT mobile application in health using Shannon Entropy approach

The significant growth of the IOT market in various fields leads to ask a question whether conventional business model frameworks can continue to Design business models for IOT applications. To answer the question, the aim of this paper is to identify the importance and ranking of "value proposition" in business models of IOT applications in healthcare.

Method

In this paper, the application of design factors of value proposition of 30 IOT mobile application in healthcare is determined based on Canvas Business Model Framework and expert opinions. First, we
Identify 30 successful and widely used IoT application based on the data available in the Appstore and Google play platform, and determine selectable factors in designing the value preposition section Business Model of IOT health application. To examine which of the selected factors were used in each of  30 IOT health applications, 15 experts are selected. Seven experts were academic researchers who had research papers or reports in this fields. other experts have been involved in the development of IoT applications in health for at least 5 years. Finally, we use Shanon Entropy approach to determine weight and rank of design factors of value preposition in the business model of IOT applications in health.

An analysis of the number of factors used in the top thirty IOT applications shows that the most commonly used design factors in the value proposition were acknowledged, Newness, Customization. The identification of these three factors illustrates the importance of the IOT in health Innovation. Due to all three factors are related to the concept of innovation, and unlike most business models, the price is ranked 21st out of 31 design factors in the value proposition.

The results of this study can be used as a starting point for IOT developers to focus on the most commonly used design factors for business models, reducing trial and error costs and software development timely.