Business Model Generation

   Business Model Generation, provides and incredibly powerful and concise tool for Entrepreneurs who want to start a successful and stable business or for business that want to evaluate and improve their existing business.  The beginning of the book describes what a Business Model Canvas is and instructs readers on how use it.  The Business Model Canvas is targeted mainly at entrepreneurs and is a diagram that is divided into nine different categories that the entrepreneur fills out with specific elements about the business plan.

Business Model Canvas in it's graphic form

   The Business Model Canvas categories include:

1. Customer Segments
2. Value Propositions
3. Channels
4. Customer Relationships
5. Revenue Streams
6. Key Resources
7. Key Activities
8. Key Partnerships
9. Cost Structure

All of these categories create for a concise plan and way of approaching evaluating a business plan, all while having very clear and explicit explanations as to subcategories, characteristics, and different points of views.

The Business Model Canvas in it's useable form

Working with the Internet

Michael Porter's "Strategy and the Internet"

   "Strategy and the Internet is a very interesting article.  The article talks about how traditional business tactics and strategies are effected by the Internet.  The main point that he makes throughout the article is that if business integrates the Internet and works with it, then business will be able to flourish and ultimately succeed.  One way that the Internet changes business is that it empowers customers.  Customers are no longer limited to their geography for acquiring their goods and services.  Customers are also empowered, because with the internet they are now able to easily compare prices and products in ways that were previously impossible.  However, there are some draw backs, such as the elimination of face to face contact, and the inability of customers to interact with products before purchasing them.  But, overall Porter feels that the gain from the modern Internet is worth the few drawbacks.

Christoph Sawyer