TikTok’s Business Model Innovation and Development - Porter’s Five Forces Model, Business Model Canvas and SWOT Analysis as Tools

Abstract

With the development of Internet technology, information is spreading rapidly. Short videos have become a new medium for people to receive information, and TikTok occupies an essential position in the short video apps. This paper uses Porter's Five Forces Model to analyze TikTok's market competition before it was founded. The Business Canvas model explores the business model and various elements of TikTok at diverse stages. Finally, the SWOT model is used to analyze the current situation of TikTok in strengths, weaknesses, opportunities and threats, and find the future direction of TikTok's business model. The analysis shows that startups need to identify opportunities and refine their business models to grow continually. TikTok should adopt a turnaround and diversification strategy to seek growth. This study provides TikTok with advice for better iteration and other parallel platforms with lessons for innovation.