Developing and Financing an e-Business Venture

MSc in e-Business and Digital Marketing

Dr. Stavroula Laspita

Business Model Canvas
 Business Model Canvas

Why do our customers choose us?

What problem are we solving
(job to be done; reduce costs or risk; improve efficiency, access,
convenience, price)?
– What emotional and practical need or want are we resolving (status, novelty,
aesthetics)?
– What differentiated value do our customers gain?
– How are services and products customized and /or bundled to suit the
customer?
 Business Model Canvas

•What are our most important segments?

•Which segments are attracted to what value?
•Approaches:
– Go for volume/market share (mass) market?
– Very targeted /customized (niche) market?
– Segments totally discrete or interlinked?
 Business Model Canvas

• Which entities do you use to communicate your

proposition to your segments?
• Through which entities do you sell product?
• What is our channel architecture (owned/partnered &
direct/indirect)?
 Business Model Canvas

•How does each customer segment want to be linked to us?

•What type of relationships do we already have with our
customers?
•How will these relationships change in future / for this
durable value proposition?
•Is the benefit worth the cost?
 Business Model Canvas

• For what value are our customers really willing to pay?

• How would they prefer to pay?
• How much does each Revenue Stream contribute to
overall revenues in terms of percentages of the total?
 Business Model Canvas

• What key resources are required to deliver the durable value proposition?
People
– Who will administer and manage our channels and key accounts?
– Who will administer and manage income and cost flows?
– Who will procure and deploy our human, physical and intellectual assets? – Who will lead?
Money
– What sources of funds are available
(internal funding, venture capital, joint venture funds, government support, sponsorship, equity, debt etc.)?
– What assets need to be procured?
– What working capital is required?
Materials
– What supply sources?
– How confident that we will have enough? – How do we secure (and ring fence)?
– What foreign exchange risks?
• How are our resources combined for best effect?
 Business Model Canvas

•What projects / initiatives / tasks are required to deliver

durable value?
– To manufacture product and/or provide services?
– To create channel architecture?
– To set up customer relationships?
– To set up income streams?
– To provide business infrastructure (e.g. back office, contracts, governance)?

•How does this fit with our technology/product/service

roadmap?
 Business Model Canvas

•Who are our current key partners?

•Why do we need partners?
(provide key assets, reduce risk and cost, increase speed to market, channel
and resource synergies, specialist skills etc.)
•Which partners are required in future?
 Business Model Canvas

Is the business more – cost driven or value driven?

How are the costs configured?
– What are the fixed costs (salaries, rents, utilities)?
– What are the variable costs?
– Where could we benefit from economies of scale?
Which key resources and key activities cost most?
Where are the critical cost elements in this model?
The Business Model Canvas

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