Domain model is a modeling abstraction of a business domain. It captures the conceptual aspects and provides semantic descriptions for them. Domain models provide the conceptual foundation of modeling by building a common understanding (static semantics) of elements of the world.

The description of business domain forming the domain model is subdivided in structural and behavioral. The structure of a business domain is represented using domain entities. The behavior of the business domain is based on the description of state change. The state transitions are represented by business activities. The sequence of executed business activities forms a behaviour.