The Evolution of Business Development Services in a Changing World

MSD Hub editor's note (Michael Field, Senior Systems Specialist, Vikāra Institute):

Business development services (BDS) have evolved substantially as systems thinking lenses have emerged and provided insights into how market systems operate and change over time.  Of particular importance is the understanding that BDS services emerge in response to core market system functions evolving to prioritize value addition-based strategies.  As firms realize they often need expertise in things like marketing, branding, finance, strategy, etc. they start to see the value in hiring specialized service providers.  This understanding that BDS is a derived function in market systems, or emerges after core functions start to mature.  As a derived function, when BDS services start to emerge or are proving to be attractive to core market actors it is a signal that a market system is evolving to be more focused on generating value addition. As practitioners continue to learn from applying systems thinking, there is a growing perspective that good practice suggests supporting BDS once a system starts to signal that it is valued. The blog below highlights key insights from the evolution of BDS

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BDS as a Derived Function

Business development services (BDS) are rarely standalone offerings. They evolve as a derived function of market systems, shaped by the core value proposition and the needs of the market itself. In many cases, a sign of early shifts in market systems is when firms invest internally in skills that eventually emerge as independent services providers, such as marketing, bookkeeping, strategy, etc.  

A Window into Market Priorities

The types of BDS that emerge reveal what markets truly value. This makes them especially important in fields like climate change, food security, and entrepreneurship, where specialized knowledge can determine whether enterprises survive or thrive. It is important to note that BDS needs to be demanded, so even when an outsider perceives something as important other elements in the local context might be more important to local actors.  For savvy practitioners, tracking which BDS is valued (i.e., through actual payment for services) provides an important signal about local contexts that can be further examined. 

Climate-Ready BDS

In the climate change space, BDS has expanded beyond traditional offerings like marketing or accounting. Service providers now offer climate risk analysis and practical support for adapting business models to environmental realities. This specialized technical knowledge is increasingly valuable as enterprises integrate climate considerations into daily operations.

Food Security and Agriculture

In agriculture, BDS has also become more technical and tailored. Services like veterinary care, artificial insemination, and farm-as-a-business coaching go far beyond generic extension services, reflecting the shift toward farming as an entrepreneurial, market-driven activity.

Entrepreneurship and Impact Investment

Entrepreneurial ecosystems demand more specialized support too. Transaction advisory services now help small and medium enterprises (SMEs) bridge the gap between family-run practices and the formal, disciplined expectations of impact investors. These advisors don’t just prepare a business plan, they provide mentoring, coaching, and ongoing support to shepherd SMEs toward investment readiness.

Pipeline and Management Advisory

Beyond individual enterprises, BDS is also emerging in the impact investment ecosystem itself. Management advisory services help build a pipeline of investment-ready businesses, responding to investors’ struggles to find enterprises that meet their criteria.

Context Matters

Ultimately, the most valuable BDS offerings are highly contextual. A one-size-fits-all approach rarely works. Instead, services must specialize and evolve in line with sector realities, whether in climate, food, or entrepreneurship, and adapt continuously to what markets demand. Ideally, practitioners should scan for when signals from local actors indicate that a certain type of BDS is becoming more attractive/valued, and then respond by amplifying the value proposition of that BDS. 

Author: Michael Field, Senior Systems Specialist, Vikāra Institute