The decisions taken on a startup’s business model will determine what costs will it incur while creating, selling and delivering its value proposition. The cost structure block describes all the relevant costs a startup has, based on its business model design.
Key partners are companies or people outside your startup that may provide relevant value for your business model to be successful. These partners have skills, resources, and knowledge that complement your startup’s strategy and close your business model gaps.
Key activities are those activities that are vital for your startup’s business model to run successfully. For example, if you’re offering a delivery platform focused on the elderly people, you’ll need to be excellent at managing the platform, executing logistics and educating your customers.
Your decisions about your business model will demand key resources to make it run successfully. Accordingly to Alexander Osterwalder, these resources are: Physical: machines, stores, buildings, vehicles, etc. Intellectual: brand, softwares, patented products or processes, etc. Human: professionals that bring an advantage for the company because of their knowledge. Financial: cash availability that leverages companies […]
When a customer is considering buying a product, she will start (consciously or unconsciously) relating its features to a possible benefit for her life. Everything that can make her life better, she’ll consider as a value. Well, your value proposition is all the value (in your customers perspective) you are delivering through your product or […]
It’s time to translate your business idea into a business model hypothesis, which will help you on better: Visualize the idea: it will consolidate the problem and the solution under the “Value Proposition”, which—with other 8 components—will bring you a clearer picture of what you’re aiming to build. Communicate the idea: once it’s easier to […]
In Business Model Generation, you’ll learn about the methodology called The Business Model Canvas (BMC)—a very objective framework that will help you on designing, analyzing and iterating your business model.