Business
Model
Professor
Paulina Mondragón Azuara
Business Model
IS A DESCRIPTION OF HOW YOUR
BUSINESS MAKES MONEY.
IT’S AN EXPLANATION OF HOW YOU
DELIVER VALUE TO
YOUR CUSTOMERS AT AN
APPROPRIATE COST.
How you deliver value to your customers at
an appropriate cost…
A business model consists of four interlocking elements
that, taken together, create and deliver value:
CUSTOMER VAlUE KEY RESOURCES
PROPOSITIOn (CVP)
Assets such as the people,
The way you create value for technology, products, facilities,
customers, it’s the way you solve equipment, channels, and brand
a customer’s problem. required to deliver the value
proposition to the targeted
customer.
PROFIT FORMULA KEY PROCESSES
How you will make profits for your Processes that allow to deliver
company while still providing value value in a way that can be
to the customer. successfully repeated and increased
in scale.
SUBSCRIPTION FREEMIUM
Consumers get charged a Offer a service without charge.
subscription fee to get access To gain access to key features,
to a service. users must pay for a
subscription.
FRANCHISE CROWDSOURCING
Licensing to a third party the Receiving opinions,
right to operate a business information, or work from
using the franchisor’s many different people using
business name and systems. the internet or social media.
RETAILER MARKETPLACE
Businesses purchase goods Allow sellers to list items for
from distributors and then sell sale and provide customers
them to customers for a final with easy tools for connecting
price. to sellers.
MANUFACTURER RAZOR BLADE
Manufacturer converts raw Selling a product at a low
materials into a product. price, maybe even at a loss, to
sell a related product later for
a profit.
Instructions (Business Manual)
1. Gather in natural groups.
2. Discuss and analyze the Business Model Canvas.
3. Describe every key element, using the information of your
business (select the business you want to work whith).
4. Each student must work on a different element and then, once
you´re all done, revise your work and make necessary
adjustments.
Key partners Key activities Value Customer Customer
List the What do you do proposition relationships segments
every day to run What kind of relationship do
partners that your business What core value you want to have with
your customer? Who are the
you can’t do model? do you deliver to Which customer needs are you
customers?
satisfying?
business the customer?
What do they
without (not think? See?
Key resources Which customer Channels
suppliers). The people, needs are you Feel? Do?
knowledge, means, satisfying? How do you deliver
and money you the value
need to run your proposition?
business.
Cost Strucure Revenue streams
What are the business’ major cost How does the business earn revenue
drivers? from the value propositions?
