Customer Relationships Customer Segments Key Partnerships Key Activities Value Proposition Customer Relationships Customer Segments What key activities are required by our value proposition, distribution channel, customer relationship, revenue stream? Problem-solving (consulting) Production (manufacturing) Platform or Network (software, interface, platform) Who are our key partners, suppliers? Which Key Resources are we acquiring from partners? Which Key Activities do partners perform? What Strategic Alliances between non-competitors Coopetition: strategic partnership between competitors Joint ventures Buyer-supplier Why Optimization & Economies of Scale Reduction of risk & uncertainty Acquisition of resources/activities What kind of relationship are we expected to establish and maintain? Personal Assistance Dedicated Personal assistance Self Service Automated Services Communities Co-Creation Why would a customer turn to you? Which problem are you helping them to solve? What need are you satisfying? What bundle of products/services are you offering? Newness Performance Brand/status Customization Accessibility Price Get the job done Design Convenience Usability Cost reduction Risk reduction For whom are you creating value? Who are your most important customers? Mass Market – one large group with similar needs Niche Market – specific, specialized needs Segmented – slightly different needs Diversified – two unrelated groups with different needs Multi-sided – two or more interdependent groups with symbiotic, interrelated needs Key Resources Channels What key resources are required? Physical (facilities, vehicles, systems, distribution) Intellectual (brand, proprietary, partnerships, data) Human (knowledge, creativity) Financial (cash, line of credit, capital) How will you reach customers? Owned vs partner Direct vs indirect Sales force Web Store Wholesaler Phases Awareness Evaluation Purchases Delivery After sales Cost Structure Revenue Stream For what value are our customers really willing to pay? How are the currently paying? How much does each revenue stream contribute? Asset sale – selling Usage fee Brokerage fee Licensing Subscription fee Advertising Lending/renting/leasing What are the most important inherent costs? Which Key Resources are most expensive? Which Key Activities are most expensive? Cost-driven: focus on minimizing cost wherever possible Value-driven: focus on value rather than cost (high design, lavishness) Fixed Costs (remain the same despite volume) Variable Costs (vary proportionally to volume produced) Economies of Scale (advantages of bulk) Economies of Scope (advantage created by large scope of operations) Negotiation Yield Management Real-time Auctions List price Feature dependent Customer dependent Volume Dependent Dynamic Fixed

Customer Relationships Customer Segments Key Partnerships Key Activities Value Proposition Customer Relationships Customer Segments Who are our key partners, suppliers? Which Key Resources are we acquiring from partners? Which Key Activities do partners perform? What Why What key activities are required? What kind of relationship are we expected to establish and maintain? Why would a customer turn to you? For whom are you creating value? Who are your most important customers? Key Resources Channels What key resources are required? How will you reach your customers? Cost Structure Revenue Stream What are the most important inherent costs? Which Key Resources are most expensive? Which Key Activities are most expensive? For what value are our customers really willing to pay? How are the currently paying? How much does each revenue stream contribute?

Customer Relationships Customer Segments Key Partnerships Key Activities Value Proposition Customer Relationships Customer Segments Who are our key partners, suppliers? Which Key Resources are we acquiring from partners? Which Key Activities do partners perform? What Why What key activities are required? What kind of relationship are we expected to establish and maintain? Why would a customer turn to you? For whom are you creating value? Who are your most important customers? Key Resources Channels What key resources are required? How will you reach your customers? Cost Structure Revenue Stream What are the most important inherent costs? Which Key Resources are most expensive? Which Key Activities are most expensive? For what value are our customers really willing to pay? How are the currently paying? How much does each revenue stream contribute?

Customer Relationships Key Partnerships Key Activities Value Proposition and Offer Customer Relationships Customer Segments Key Resources Channels Cost Structure Benefit Stream

Business Model (the rationale of how an organization creates, delivers and captures value) Canvas (a tool to help navigate the organizational structures, processes, and systems and create a common language to describe, design, understand, and compete with the scale and speed of business model innovation.)

Customer Relationships Customer Segments Key Partnerships Key Activities Value Proposition and Offer Customer Relationships Customer Segments What key activities are required by our value proposition, distribution channel, customer relationship, revenue stream? Problem-solving (consulting) Production (manufacturing) Platform or Network (software, interface, platform) Who are our key partners, suppliers? Which Key Resources are we acquiring from partners? Which Key Activities do partners perform? What Why What kind of relationship are we expected to establish and maintain? Personal Assistance Dedicated Personal assistance Self Service Automated Services Communities Co-Creation For whom are you creating value? Who are your most important customers? Mass Market – one large group with similar needs Niche Market – specific, specialized needs Segmented – slightly different needs Diversified – two unrelated groups with different needs Multi-sided – two or more interdependent groups with symbiotic, interrelated needs What problem are you helping them to solve? What need are you satisfying? What bundle of products/services are you offering? Key Resources Channels What key resources are required? Physical (facilities, vehicles, systems, distribution) Intellectual (brand, proprietary, partnerships, data) Human (knowledge, creativity) Financial (cash, line of credit, capital) How will you reach customers? Owned vs partner Direct vs indirect Network Web Physical presence Partner Phases Awareness Buy-in Participation Delivery Follow-through Cost Structure Benefit Stream For what value or benefits are worth taxpayer costs? How will those benefits accrue? When do you predict a demonstrable positive impact? What are the most important inherent costs? Which Key Resources are most expensive? Which Key Activities are most expensive? Cost-driven: focus on minimizing cost wherever possible Value-driven: focus on value rather than cost (high design) Fixed Costs (remain the same despite volume) Variable Costs (vary proportionally to volume produced) Economies of Scale (advantages of bulk) Economies of Scope (advantage created by large scope of operations) Negotiated Time dependent Real-time Fixed Feature dependent Customer dependent Volume Dependent Dynamic Fixed