The Business Model Canvas is one of many strategic theories. Alexander Osterwalder is behind it and he says:
"A business model describes the rationale of how an organization creates, delivers, and captures value".
This is therefore a template that can be used when describing your business model. It is a visual overview of nine building blocks
1. key activities - what do you need to be an expert in for your business plan to succeed?
2. key resources - what is the most important resource for you to succeed?
3. partner network - who are your key partners and suppliers?
4. value proposition - what is the need you are offering to meet for your target audience?
5. customer segments - who do you want to help / target with your services?
6. channels - through which channels and how do you sell and deliver to your customers?
7. customer relations - how do you get and keep customers?
8. cost structure - what costs do you have and which are the most important?
9. Revenue streams - how do you make money?
Business Model Canvas was introduced in the bestselling book "Business model Generation" as a handbook to rethink business models and design tomorrow's businesses.
There are several free templates you can find on the web. But always remember to translate your work into concrete action, otherwise the work just ends up in the drawer.
In MakeMyStrategy™ you can incorporate all the different theories and models you want – and you ensure that your work translates into something concrete.
It really took off with MakeMyStrategy - I highly recommend taking the system in
Kjeld Bagger
Owner and Director
AVD Denmark