Honestly, I find this slide on ‘value chain analysis’ to evaluate business model as a very practical one. The key aspects of this framework are assessing the degree of ‘Own Value Added’ and ‘Profitability’ for each of the value chain step. As we do this, especially from a buy side perspective, it will give us reasonably a good idea as to how solid the target’s business model is in terms of their ‘value creation’. In my opinion, this framework suggested is as good as we could possibly think of since it is very objective and removes the subjectivity.
Hope this helps.