Title: Identify the components of the business model canvas.
Course: Entrepreneurship (12053-I) > Section: Understanding Design Thinking and Business Model Development

Components of the business model canvas, also known as mission model canvas or social model canvas, should include

- value proposition—What value is being delivered to the customer? Which customer pain-points are being addressed?
- customer segments—For whom is value being created? What products and services are being offered to each customer segment?
- customer relationships—What type of relationship is being maintained with each customer segment? What are the expectations of customers? How are they established?
- channels—Which channels are to be focused on to reach the desired customer segments? How are those channels integrated? Which ones are the most cost-effective?
- key partners—Who are the key partners? Key suppliers? Which key resources are being acquired from them? Which key activities do the partners perform?
- key activities—What key activities do the value propositions require (e.g., product distribution, research and development strategy)?
- key resources—What key resources do the value propositions require (e.g., office, hosting requirements, human resources, financial, transportation, electricity)?
- cost structure—What are the most important cost drivers in the business model? Which key resources and activities are most expensive?
- revenue streams—How will the business make money? Who are the customers willing to pay and for what benefit? How would they prefer to pay? How are they currently paying? How does each stream add up to the total revenue?

Teacher Resources:

- Development Impact and You: Image of the business model canvas

Process/Skill Questions:

- How can a business model canvas be used to display the important aspects of a business idea?
- How would a business model canvas be used with investors?
- Why is it essential to test and validate all aspects of a business model canvas?