Chapter 4 Business Model Canvas

1. Chapter 4Business Model Canvas

2. Definition of Business Model “A business model describes the rationale of how an organization creates, delivers, and captures value.” (Osterwalder & Pigneur, 2010) “A sustainable business model shows how an organization creates and delivers sustainable value that benefit various stakeholders.” --Tih Sio Hong

3. Business Model Canvas Key Customer Customer Key Value Activities Relationships Segments Partners Proposition CR KA CS KP VP Activities performed Maintained In business offering Relationship with Outsourcing partners Customers Partnering suppliers Channels Key Collaborators Serves one or Solve problems CH Resources Several customer Satisfy customer segments KR needs Communication, Asset required Distribution, To offer & deliver Sales Channels offering Cost Revenue Structure Streams Cost of business CS RS Revenue from successfully offering Offered to customers Osterwalder & Pigneur (2010) www.businessmodelgeneration.com

4. Business Model Canvas Sustainability

5. Sustainable Business Model (SBM) Key Customer Customer Key Value Activities Relationships Segments Partners Proposition CR KA CS KP VP Design Develop trusted sustainable relationships activities Solve issues & Serve & Long-term Satisfy needs in educated Collaborative Channels Key Sustainable customers Partners CH approach Resources KR Communication, Renewable Distribution Assets & Sales Resources channels Cost Revenue Structure Streams Cost incur in value offering & Reward from successfully CS RS Minimize cost of relevant create, design & offer stakeholders Sustainable Value Adapted from Business Model Canvas (Osterwalder & Pigneur, 2010), prepared by Tih Sio Hong, UKM

6. Serve & educate Customers Silent Customer

7. Sustainable Value

8. • Communication channel • Distribution channel • Sales channel

10. Trusted Relationship

12. Renewable resources

13. Design sustainable activities Bamboo Furniture Manufacturing

14. Long-term collaborative Partners

15. Minimize cost of relevant stakeholders

16. Sustainable Business Model for Training Company Key Partners Key Activities Value Propositions Customer Customer Segments Relationships Harmony Teamwork Design *ASEAN Training Experience Companies’ employees Universities Programmes Marketing Activities E-Community Member Club Events Cross-Cultural Experience *Government agencies/ Key Resources Channels * Local travel agencies Valuable Experience & Fun Physical training locations University students Retired Lecturers/ Trainers *Eco-Hotels Complementary Online Training Space Disneyland in Training world Universities facilities Young executives Cost Structure Revenue Streams Marketing / Promotion Sponsorship Membership Training Fee Trainer Fee honorarium Training facilities rental

17. Sustainable Business Model - Refurbished Computer Key Partners Key Activities Value Propositions Customer Customer Segments Relationships Affordable Refurbishing processing machine Corporate PC rental Marketing Activities E-Community Member Club Trade-in *PC producers *Software Key Resources Channels University students companies Physical outlets Skilled operation workers facilities Microsoft Complementary InterConnection TechSoup Online reservation Efficiency & Performance Social communities Cost Structure Revenue Streams Marketing / Promotion Refurbished Rental Fee Worker salary Trade-in cost Membership PC sales Fee

18. Spanish Movie / Irish Music

19. The Groupon Business Model

20. ACISION-Global leader in mobile messaging

22. Now create your own Business Model!!!