These days, organizations environment has become more competitive. According to business researchers, achieving a competitive position for the company is possible only by the proper business model. A successful business model indicates a better option so that it can offer greater value to a distinct group of customers and bring greater benefits to the company. At the start of a business, failure to identify an appropriate business model, leads to the failure of organizations to achieving its goals. Despite the importance of this issue, there is no standard for the definitions and components of business models. Hence, in this study, definitions and components of business models are discussed, according to the different approaches in modeling business models. However, merely having a good business model at the inception of a company is not enough; what is more important is utilizing and maintaining a proper business model over the life of the institution.The power of a business model is such that it can be a powerful tool for analyzing, testing, and evaluating organization's strategic options. Therefore, an organization business model evaluation as a strategic decision-making process will never stop and can be a basis for continuous improvement of the business. Business model evaluation differs according to the levels and units of analysis. In this study,by reviewing the different studies, the most important criteria and methods of business model evaluation has been proposed.Business models are the representation of businesses at a specific time. Rapid technological, economical, cultural and political changes lead to a more complex organizations environmentand dynamic business evolution. This causes instability of business models. Therefore, they change by the development of businesses. Hence, business model innovation has become one of the most important issues in management science. This concept has been studied in the final part of this study.