Coming Soon - Download Tool
Coming Soon - Favorites List
Coming Soon - Reference Articles
Coming Soon - Reference Videos
The Business Model canvas is an excellent tool for determining the structure of your business and specific approaches to tackling certain problems. Entrepreneurs that have a deep understanding of their industry can use this tool to convey that expertise to others in a very compact and simple manner. However, a warning to those entrepreneurs, business model innovation is disrupting almost every industry globally. Thus, that industry expertise could work against you as it uses industry standards. You can use this tool to identify assumptions your industry makes and identify unique ways to offer something different or structure your startup in a different way.
The Business Model Canvas was created by Alexander Osterwalder in the late 2000's. What most people don't know is that it was the culmination of Dr. Osterwalders Ph.D. thesis and his time in several startups. He specifically designed this tool to be used to identify the best business model to bring companies to market that wanted to monetize data. Yet, this frameworks can be used by anyone looking to gain insights into potential business models and structures for their startups.
Dr. Osterwalder's is a co-founder at Strategyzer. They offer supplemental tools to the business model canvas and some personalized help for those looking to go deeper into this tool. Check out their website for more information.
One area that the business model canvas does not do a good job is around customer-centric area, like delivering the service or identifying the best customers for your solution. You will likely need to supplement this tool with others to get a full picture of your business and how to provide value to customers.
- Flexible and Easy to Change
- Provides Quick Reference and provides a visual framework for you
- It can break down a complicated process visually for your team
- You can use it to track and validate the underlying assumptions behind your hypothesis
- You can create a rough draft quickly
- Often people look at this canvas as a checklist. Please do the deep dive on the sections. It will pay off in the long run.
- It ignores some essential business model issues like competitors, or liquidity. Reminder this is the beginning framework.
- You will have to update it. The sections will change as you challenge underlying assumptions. You will need to revisit it frequently