9 Blocks of Business Model that may change your perspective!

Hello,

Let us start with some questions first off all.

Are you an entrepreneurial spirit?

Yes _______ no _______

Are you thinking about how to create value and build new businesses, or how to improve or transform your organization?

Yes _______ no _______

Are you trying to find innovative ways of doing business to replace old, outdated ones?

 Yes _______ no _______

If the answer is yes then this article is for you!

Now in this business era or I can say in this startup era everyone is having the skills and knowledge about the business and the trade. In this era, the largest growing sectors the startup sectors are one of its around 100 million startups start each year.

There are different ideas and psychology behind them must be these are in the favor and development of the nation but, more of them are not successful as much as required or as suppose by them. Now I am giving you small tips about how you can prepare your startup model which is going to understand what you are going to do? And for whom you are going to do? So here are some tips for you.

an entrepreneur must have a crystal clear vision about the idea of what he is going to present in front of the investor or customers or public and for making this thought clearer here are some tips and points that you can follow in your business canvas.

Alright, here I have to clear about the meaning of business canvas: - it is the written of all the thinks about customers, values, channels, relationships, partners and many more aspects of the business.

So here is the list of all the BLOCKS:

· Customer segment

· Value proposition

· Channels

· Customer relationship

· Revenue stream.

· Key resources

· Key activities

· Key partnership


· Cost Structure

·Here is the brief of the above:

Customer Segment: a startup must be concern about its customers those it is going to serve soon. The targeted customers must be selected so according to the customers’ needs the product becomes more fruitful for the customers. Remember that the customers are the heart of the business.

Value proposition: the value proposition which turns the customers to switch between the different companies because other companies solve the problem of the customer. Here it is the meaning hidden for this word the benefits. So the value proposition means the bundles of benefits that you are serving to the customers or in other words, why they buy your product or services among the different options available in the market.

Channels: now it's going well you decided your customer segment and the values which you are going to provide your customers after this the nest foremost important step has come that’s the channels. How a company communicates with and reaches its Customer Segments to deliver a Value Proposition. Now, these are must be flexible and also dynamic.

Customer relationships: after completing the task of providing the values to the customers here the nest thinks is come i.e., customer relationship. Customer relationship means types of relationships a company establishes with specific Customer Segments in the future because this is going to be beneficial in the coming future.

Revenue stream: If customers comprise the heart of a business model, Revenue Streams are its arteries.So it means that the cash a company generates from each Customer Segment (costs must be subtracted from revenues to create earnings). This segment needs attention because if the arteries don’t work it is going difficult in the future to survive among the completion. A business must include the two different types of Revenue Streams: Transaction revenues and Recurring revenues. I hope the meaning of the revenue stream is clear.

Key resources: here it is also an important block it describes the most important assets required to make a business model work effectively & efficiently. These resources enable the enterprise to create a value proposition, reach markets, maintain relationships with Customer Segments, and earn revenues. Different key resources are needed as per the type of business.

Key activities: this tells about the most important things a business must do to make its business model work. This is the most important actions a company must take to operate successfully.

Key partnership: the key partners mean those are going to execute the business. Or in other words, these are the key persons who are accountable for all the activities of the business.

Cost structure: it is also the foremost important part of the business model. Firstly the business must find out its different costs that are going to occur in the coming future and then work on cost reduction. Although it has a negative relationship with the revenue if the cost is high then the revenues are less or vice versa.

I hope you get some core information about how a business model is framed? And how the different areas of the business are interrelated with each other.

I hope you like it! 👍

Thanks 😊