Business Model Canvas Masterclass: How Business Models Work

This online course shows you how entrepreneurs think about starting a business and how they develop startups.  You’ll learn everything from business planning essentials to the most commonly used business strategies.  Whether you’re a small business entrepreneur or you’re starting an empire, this course will show you how to bring your idea to the market so you can get started building your business today.  

We’re going to learn theory first and then take a look at examples of existing businesses where you can see it in action. We’ll also roll up our sleeves and get our hands dirty, creating our own business models.

At the beginning of this course, I’ll show you that business models are everywhere.  Then, I’ll show you how every model breaks down into the same 9 parts over and over again using the Business Model Canvas.  Additionally, we’ll take a look at the six main strategies that businesses use in planning their models.  Finally, I’ll show you how to develop your own business model, and I’ll demonstrate how to pitch the model to other people using a fill-in-the-blank script I created.

By the end of this course, you’ll be able to start a fully functional business with the tools and strategies you’ll learn.  You can take that passion project you’ve been working on and turn it into a side hustle or even a full-on startup.  You’ll know how to take an idea, find a target market for it, and start creating solutions for your customers.

This course is for you if you’re an entrepreneur who is just getting started or if you’re a founder who’s been in business for awhile and want to expand your knowledge.  Whether you’ve got a business idea or you want to become an entrepreneur and don’t know where to start, you’ll be able to walk away from this course knowing what your roadmap looks like so you can keep going with confidence - and a solid plan.

There are no prerequisites or need to have any business knowledge prior to taking this course.

Introduction to Lesson 1.  Objectives are the fundamental idea, recognize business models everywhere, and learn about the business model canvas.

Business Models are everywhere, urban and rural.

The fundamental idea behind every business transaction.

Introduction to the Business Model Canvas and a brief history.

Lesson Review.

Draw a business model canvas for familiarization.

Introduction to Lesson 2.  Objectives are understand each of the 9 building blocks of the canvas, use the canvas to understand a lemonade stand.

What we already know about business:  Customer Segments, Value Proposition, and Key Activities.

Channels are the ways in which we communicate with and deliver our value proposition to customers.

Revenues are ways that money comes into the business.  6 commonly used charging mechanisms.

Relationships describe how our motivations are represented when establishing them with customers (acquisition and ongoing revenue).  6 types of relationships.

A review of what we know now about the right side of the canvas.

The left side of the canvas consists of Key Activities, Key Resources, Key Partners, and Costs.

Key Resources are those things without which we cannot produce our Value Proposition.

Key Partners are those people or companies that help us fabricate, supply, and sell our Value Proposition.

Costs consist of fixed and variable costs.

A review of how the left side of the canvas fits together in our example.

How the entire business model canvas works using our example.

A look at the right side of the canvas using a coffee shop example.

A look at the left side of the canvas using a coffee shop example.

A look at the entire canvas using a gas station example.

Challenge description - complete your own business model canvas using a casual dining restaurant as an example.

A review of our deep dive of the business model canvas.

Lesson 3 Introduction.  Objectives are to identify 6 commonly used strategies, understand how each makes money, understand what they look like using practical examples,

Challenge answer from Lesson 2.

Classic Strategy is one we already know.  Simple business transaction.

The Freemium Strategy offers part of the Value Proposition for free to one customer segment and uses another customer segment to subsidize the first.

The Multisided Strategy brings together two customer segments.  Value is created only when both segments are present.

Longtail Strategies sell high volumes of niche products to niche customers in one business model.

Open/Platform strategies employ two types of segments that buy from and sell to each other.  The platform charges usage fees.

The Unbundled Strategy is really just three classic models put together.  Typically, it involves an innovative product, customer service, and infrastructure.

A review of the 6 strategies in the lesson.

Challenge: name that strategy for three business models.  Walmart, Instagram, and Etsy.

Preparation for Lesson 4.

Introduction to Lesson 4 - create your own business model by using research hacks to find problems and solutions.

Answer to Lesson 4 Challenge.

The importance of customer problems & what makes a good problem for you.

Looking in 4 places to find problems: personal experience, family & friends, public, and the internet.

Using social media and ecommerce platforms as search tools.

Link problems to a common customer.

Introduction to completing the Value Proposition block.

Using search tools to discover existing solutions.

Introduction to prototyping as a physical representation of a Value Proposition.

Hardware prototyping using cardboard.

Software prototyping using markers and paper.

Service prototyping by creating a game board.

Completing the Value Proposition Block

Using the internet to complete Key Activities, Resources, Partners, and Costs.

Using our previous customer research to complete Relationships, Channels, and Revenues.

Final Thoughts on creating your own business model.

Lesson conclusion and next steps.

Introduction to Lesson 5.  Objectives are to learn the One-minute Pitch and the “Extended” Pitch.

The order of operations.  Planning a business model vs. telling others about it.

Demonstration of the One-Minute Pitch.

Demonstration of the “Extended” Pitch.

A breakdown of how to pitch the business model using fill in the blanks.

Lesson 5 review.

Course conclusion.  You can now observe business models, use them for reference, understand what’s involved in them, know how they make money, create your own business model, and pitch your model to other people.  Recommended next steps include how to practice customer validation.