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all_inclusive Key partners

In order to optimize operations and reduce risks of a business model, organizations usually cultivate buyer-supplier relationships so they can focus on their core activity.

Complementary business alliances also can be considered through joint ventures or strategic alliances between competitors or non-competitors.

golf_course Key activities

The most important activities in executing a company's value proposition.

An example for Bic, the pen manufacturer, would be creating an efficient supply chain to drive down costs.

location_city Key resources

The resources that are necessary to create value for the customer.

They are considered assets to a company that are needed to sustain and support the business. These resources could be human, financial, physical and intellectual.

cake Value propositions

The collection of products and services a business offers to meet the needs of its customers.

According to Osterwalder (2004), a company's value proposition is what distinguishes it from its competitors. The value proposition provides value through various elements such as newness, performance, customization, "getting the job done", design, brand/status, price, cost reduction, risk reduction, accessibility, and convenience/usability.

The value propositions may be Quantitative (price and efficiency) or Qualitative (overall customer experience and outcome)

group Customer relationships

To ensure the survival and success of any businesses, companies must identify the type of relationship they want to create with their customer segments.

Various forms of customer relationships include: Personal Assistance, Dedicated Personal Assistance, Self Service, Automated Services, Communities or Co-creation

wifi_tethering Channels

A company can deliver its value proposition to its targeted customers through different channels.

Effective channels will distribute a company’s value proposition in ways that are fast, efficient and cost-effective. An organization can reach its clients through its own channels (store front), partner channels (major distributors), or a combination of both.

list_alt Customer segments

To build an effective business model, a company must identify which customers it tries to serve.

Various sets of customers can be segmented based on their different needs and attributes to ensure appropriate implementation of corporate strategy to meet the characteristics of selected groups of clients.

money_off Cost structure

This describes the most important monetary consequences while operating under different business models.

attach_money Revenue streams

The way a company makes income from each customer segment.

Some examples include: Asset sale, Usage fee or Subscription fees