Throughout the many tools provided in business the best one for discovering what a company’s strives to achieve is the Business Model Canvas I feel it best illustrates the large interconnected system that runs with in a company. This provides a better understanding on the many strengths a company’s has and also shows what the company needs to improve on. The model was created by Alexander Osterwalder It outlines several prescriptions which form the building blocks that are Value proposition, Customer segment, customer relationship, channels, revenue streams, Key activities, Key resources, cost structure and key partners. It allows both up and coming businesses and existing businesses to focus on operations as well as strategic management and marketing plans. Once the model has been created you are able to see that every aspect affects the over all success. Also allowing the company’s to see what there best traits are that are keeping them diversified from there competition.
This is a very simplified example of two categories in a model with connections to each other.
In this model it shows that the company’s value proposition strongly connects to the customers segment which is who the company attracts. By Tesla providing an environmentally safe vehicle they attract more customers who are interested in keeping a clean environment. Also with Tesla providing more options and a better sustaining battery life within there cars the companys vehicles attract customers with a higher salary.
With only being providing very few points for this Tesla model you are able to get a quick insight as to how the business model works as well as see that there is many opportunity’s for connections within. This is why I feel that the business model canvas is the best for seeing what a company plans to achieve.
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