Murano is known for the glass blowing industry in Italy’s venice. Tourists visit in great numbers and almost all of them pass by Murano to buy some glass piece of value. However, what they buy are the usual momento’s and nothing very expensive. Thus, a glass blower who has to keep the kiln working day and night to keep the glass blowing working, can get quickly overwhelmed by the low margin of profit on glass, cost of electricity or gas and the very small products that people buy.
A glass blower has come up with a unique business model. This involves collaboration but is a very unique business model.
The glass blower collaborates with an artist to create the artist creation in glass. The make two (2) pieces. The artist keeps one piece to sell and the glass blower keeps the other to sell. They both benefit.
Advantage for artist: He gets his piece created in glass. He gets a piece to sell. The artist gets to come to Venice and work with great glass artists.
Advantage for the glass blower: He gets an artist created sculpture in glass to sell. Saves the factory. Also, the innovation that derives from creating a new piece.
This is a lesson for industry of the present in developed countries. Innovation with new business model is required to win against the fierce competition from the cheap manufacturing in Asia.