Business Model Canvas. What it is for and how to create it

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The Business Model Canvas is a fundamental tool for creating successful business models, as it allows us to identify the key aspects that a business must have and to break them down step by step. It is useful for any type of business, from a small shop to a totally disruptive startup. If you have probably heard of the Business Model Canvas, it will probably be because it is closely linked to the creation of the latter, where it plays a fundamental role in how they provide value to the customer. But this does not mean that it should not be used in other businesses, on the contrary, it is highly recommended, as it establishes an essential starting point.

And don't confuse it with the business plan, which is something armenia phone number library different. The business plan is focused on the economic-financial viability of the project, while the Canvas model focuses on how you are going to add value to the market and what makes you different.



Table of contents
What is the Canvas model and what is it used for?
1. Market segments
2. Value proposition
3. Channels
4. Customer relations
5. Sources of income
6. Key Resources
7. Key activities
8. Key partnerships
9. Cost structure
Conclusions
What is the Canvas model and what is it used for?
The Business Model Canvas was designed by Alexander Osterwalder and Yves Pigneur. In their book “Business Model Generation” they explain that “the best way to describe a business model is to divide it into nine basic modules that reflect the logic that a company follows to generate revenue. These nine modules cover the four main areas of a business: customers, offering, infrastructure and economic viability.”


In the center of the canvas we will have the value proposition of the business, why it exists and what makes it different from the rest of the competitors. On the right, there are those modules that represent value (market segments, customer relationships, channels and sources of income). On the left, the modules that represent efficiency (key associations, key activities, key resources and cost structure). Similar to our brain, they represent the right hemisphere (emotions) and the left hemisphere (logic).

This canvas, once completed, will allow us to have a complete vision of our business, which will help us draw decisive conclusions regarding the key aspects to work on.