Business Model Design Template

A business model is a framework for creating economic, social, and/or other forms of value. The term business model is thus used for a broad range of informal and formal descriptions to represent core aspects of a business, including purpose, offerings, strategies, infrastructure, organizational structures, trading practices, and operational processes and policies.

Business Model Design Template

Infrastructure
* Core capabilities: The capabilities and competencies necessary to execute a company’s business model.
* Partner network: The business alliances which complement other aspects of the business model.
* Value configuration: The rationale which makes a business mutually beneficial for a business and its customers.

Offering
* Value proposition: The products and services a business offers. Quoting Osterwalder (2004), a value proposition “is an overall view of .. products and services that together represent value for a specific customer segment. It describes the way a firm differentiates itself from its competitors and is the reason why customers buy from a certain firm and not from another.”

Customers
* Target customer: The target audience for a business’ products and services.
* Distribution channel: The means by which a company delivers products and services to customers. This includes the company’s marketing and distribution strategy.
* Customer relationship: The links a company establishes between itself and its different customer segments. The process of managing customer relationships is referred to as customer relationship management.

Finances
* Cost structure: The monetary consequences of the means employed in the business model. A company’s DOC.
* Revenue: The way a company makes money through a variety of revenue flows. A company’s income.

Examples
* Auction business model
* Bricks and clicks business model
* Collective business models
* Cutting out the middleman model
* Direct sales model
* Distribution business models, various
* Franchise
* Freemium business model
* Industrialization of services business model
* Low-cost carrier business model
* Loyalty business models
* Monopolistic business model
* Multi-level marketing business model
* Network effects business model
* Online auction business model
* Online content business model
* Premium business model
* Professional open-source model
* Pyramid scheme business model
* Razor and blades business model (bait and hook)
* Servitization of products business model
* Subscription business model
* Value Added Reseller model