13. BUSINESS MODEL
Do You Have A Business Model?
“A business model describes
the rationale of how an
organization creates, delivers,
and captures value”
16. BUSINESS MODEL
Customer Segments
the different groups of people or
organizations an enterprise aims
to reach and serve
For whom are we creating value?
Who are our most important
customers?
20. BUSINESS MODEL
Value Proposition
What value do we deliver to the
customer?
Which one of our customer’s
problems are we helping to solve?
What bundles of products and
services are we offering to each
Customer Segment?
21. BUSINESS MODEL
Elements Of Value Proposition
Newness
Performance
Customization
Getting the job done
Design
Brand/status
22. BUSINESS MODEL
Elements Of Value Proposition
Price
Cost reduction
Risk reduction
Accessibility
Convenience/usability
24. BUSINESS MODEL
Channels
How a company
communicates with and
reaches its Customer
Segments to deliver a
Value Proposition
25. BUSINESS MODEL
Channels
Through which Channels do our
CS want to be reached?
Which channels work best?
Which ones are most cost-
efficient?
How are we integrating them with
customer routines?
29. BUSINESS MODEL
Customer Relations
What type of relationship do
we establish and maintain
with CS?
How costly are they?
How are they integrated with
the rest of our business
model?
30. BUSINESS MODEL
Customer Relations Types
Personal assistance
Dedicated personal assistance
Self-service
Automated services
Communities
Co-creation
32. BUSINESS MODEL
Revenue Streams
The cash a company
generates from each
Customer Segment (costs
must be subtracted from
revenues to create earnings)
33. BUSINESS MODEL
Revenue Streams
For what value are our
customers really willing to pay?
For what do they currently
pay?
How are they currently paying?
How much does each RS
contribute to overall revenues?
34. BUSINESS MODEL
Revenue Streams Types
Asset sale
Usage fee
Subscription fees
Lending/Renting/Leasing
Licensing
Brokerage fees
Advertising
37. BUSINESS MODEL
Key Resources
What Key Resources do our
Value Propositions require?
Our Distribution Channels?
Customer Relationships?
Revenue Streams?
41. BUSINESS MODEL
Key Activities
What Key Activities do our
Value Propositions require?
Our Distribution Channels?
Customer Relationships?
Revenue Streams?
45. BUSINESS MODEL
Key Partnerships
Who are our Key Partners?
Who are our key suppliers?
Which Key Resources are we
acquiring from partners?
Which Key Activities do
partners perform?
46. BUSINESS MODEL
Partnership Types
Strategic alliances between
non-competitors
Coopetition: strategic
partnerships between
competitors
Joint ventures to develop new
businesses
Buyer-supplier relationships to
assure reliable supplies
47. BUSINESS MODEL
Motivations For Creating Partnerships
Optimization and economy
of scale
Reduction of risk and
uncertainty
Acquisition of particular
resources and activities
50. BUSINESS MODEL
Cost Structure
What are the most important
costs inherent in our business
model?
Which Key Resources are
most expensive?
Which Key Activities are most
expensive?
51. BUSINESS MODEL
Cost Structure Types
Cost-driven
Value-driven
Fixed costs
Variable costs
Economies of scale
Economies of scope