Professional Documents
Culture Documents
DEVELOPMENT
Business Model
Describes the rationale of how an
organization creates, delivers and captures
value
Can best be described through 9 building
blocks that show the logic of how a
company intends to make money.
What is a business model?
A framework of how the business will
achieve its purpose through the activities
of using its resources in generating
revenues through the application of
necessary skills and competencies. The
revenues generated should be higher than
the cost of using resources.
What is a business model?
Sell
Profit PURPOSE
Produce
Business Model Environment
Key trends
Market forces
Macroeconomic forces
Industry forces
Business Model Building Blocks
Key Partners
Key Activities
Value Proposition
Customer Relationship
Customer Segments
Key Resources
Channels
Cost structure
Revenue Stream
BUSINESS CANVASS
Business Model Canvass
Key Partners Key Customer Customer
Activities Relationships Segment
Value
Proposition
Key Resources Channels
Own Stores
products and company’s value specific to a purchase
services? proposition? products or customer? customer
Partner services? support?
stores
Indirect
Partner
Wholesaler
CUSTOMER
RELATIONSHIP
Describes the type of relationship the establishes with a
specific customer segment;
Driven by motivation for
• Customer acquisition
• Customer retention
• Boosting sales
Categories of Customer
Relationship
Personal assistance
Dedicated personal assistance
Self-service
Automated services
Communities
Co-creation
REVENUE STREAMS
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