Why Make A Business Model?

According to "Business Model Generation" by Alexander Osterwalder and Yves Pigneur, the following elements are important for a successful business model:
- Value Proposition (better assessment of what customer needs)
- Customer Relationships (more efficient interaction with customers)
- Channels (better control of channel inventory - where, when and how)
- Productivity System(more efficiency throughout the value chain - employees, partners…)

Custom Business Model Form Questions

Fill in the questions below and click the Submit button.
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Over 200 attributes will be reviewed for your business.
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See 17 business model examples. 17 Business Model Examples


How to describe a business model?

A business model canvas is a framework to visualise your company's key elements including what problems you are solving, who you are solving them for and how you will make money. It is an aggregation of the customer and problem statements as well as actions needed to turn these into value propositions.

The goal is not to come up with a new way of doing business but rather understand which assets, revenue streams, capacity or competences your company has that identify the desired opportunities for analysing investment cases.

It provides a visual representation of its key aspects such as what problems it solves (the problem statement), how it solves the problem (channels), and in which markets it operates (customer segments).

As all companies need three things to work successfully:

1) A clear understanding of who the customer is and what challenge they are solving for them.

2) A set of actions to develop solutions that address the problems/challenges this customer has

3) An economic model which allows you to make money from providing a solution (monetization strategy). The canvas helps you to identify your value proposition, the key aspects of your company and serves as a compass for making all decisions in the business. It also allows you to do 'rapid prototyping' - quickly change elements to test out an idea without having to go through a time-consuming re-design process. The visual nature of the canvas makes it easy to work with and easy to share with others. The canvas is not a template for your business but a framework to help you understand the key elements of your company and how they fit together.

Have you read the book, "Business Model Generation?"
It's a helpful resource for understanding how to create and analyze your business model.
The authors provide valuable insights into what we need to think about when creating our own.
They even offer templates that can be downloaded in order to help us get started!
You should check out this book if you're curious about how best to structure your company or organization.

Books on Business Model Canvas


Business Model Generation book Business Model You book