Business Model Canvas: A Tool for Entrepreneurs

and Innovators (Project-Centered Course) – WEEK 4

https://www.coursera.org/learn/business-model-canvas

Instructions for enrollment FOR FREE:

LEARN ANYWHERE – ANYTIME –ANY DEVICE

CONTENT FROM TOP UNIVERSITIES

5 – 30 MINUTES/DAY

Instructions for enrollment:STEP 1: Visit the MOOC site:

https://www.coursera.org/learn/business-model-canvas or DOWN LOAD Courserafrom IOS Apple Store/ Androi

STEP 2: Click “ENROLL” button

STEP 3: Create your profile on Coursera

Start LEARNING FOR FREE

Hello!I am LÊ HỒNG TÂM I am a lifelong eager learner, resource connector, problem solver, value adder, youth coach, inspirer and proud mom.

I love marketing, entre & intra-preneurship, researching about learning and teaching

I am like water: tender, flexible yet powerful

You can find me at Or contact me at lehongtam1206@gmail.com

CATCH UP IF YOU CAN!

Instructions for enrollment FOR FREE:

LEARN ANYWHERE – ANYTIME –ANY DEVICE

CONTENT FROM TOP UNIVERSITIES

5 – 30 MINUTES/DAY

The MOOC TimelineWeek 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8

On Coursera Customer

Segments

Value

Propositions

Channels

and

Customer

Relationship

Key activities

& Key

resources

Revenue

Structure &

Partners

Cost

Structure

Presenting

your BM

Facilitated

discussions

at AC

• Why using

Business

Model

Canvas?

Is it for

you?

• Lean Start

up

Mindset

* Determine

your type of

market;

* How to

determine

your

customer

segments

Oct 26

Customer

Validation

Marketing

Channels,

Customer

Relationships

Activity:

• Building

prototype

• Problem-

Solution test

Nov 2

* Key activities,

key resources,

partners and *

Cost structure

Nov 9

Your canvas

presentation

Nov 16

Follow up

Mentorship

for teams

Your project

Challenge

statement

Customer

validated

Your canvas;

Prototype

and 10

customer

interviews

Customer

pitching and try

to sell, talk to

your partners

and channels.

Financial model

receive

mentorship to

participate in

Business

Mekong

Challenge

AC Meeting agendaTime Activity Note

11:15 – 11:30 Online audience can review materials if they have not Link to the online materials

on fanpage

11:30 – 11:45 Activate:

Review main ideas of the online lectures

11:45 – 12:00 Quiz Time Special prizes for both online

& offline audience

12:00 – 12:30 Useful toolkits:

Introduce how to apply the online materials in real start up project

12:30 – 1:00 Experiential learning:

Main Activity to strengthen the mindset/ toolkit usage

1:00 – 1:30 Group Q&A and mentoring for teams with Business Model Canvas Comments for participants’

business model canvas

After this MOOC, we can:

◇ Understand the mindset of learning by doing and lean start-up

◇ Identify and communicate the nine key elements of a business model

◇ USE the business model canvas to approach either a personal or corporate challenge or opportunity.

◇ Present a polished Business Model Canvasthat outlines the business case for a new product or service to address your selected challenge or opportunity.

& MUCH MORE:

◇ Receive a certificate from U.S. Embassy/ Coursera to mark your efforts and achievement

◇ Opportunity to win the Business Model Book

MOST IMPORTANTLY:

◇ Build momentum for your Entrepreneurial DREAM◇ Participate in the McKinsey Mekong Business Challenge to have a

chance to join in the regional competition in Buhtan and the International BMC in the U.S. : https://goo.gl/ncEKAG

◇ Receive mentorship from Tam Le & friends for the McKinsey Mekong Business Challenge

www.coursera.org/learn/business-model-canvas

ACTIVATELet’s REVIEW

1

SOME useful tools to test your business idea: ◇ 4 Market types◇ You can calculate/ estimate your market size (Google + facebook insights, statistics/ demographic reports)◇ Test your idea by making prototypes, a landing page/ mock app/ web, advertisments & TRY TO SELL

CHALLENGE WEEK 4Let’s see if you can recall and understand the concepts

2

Q1: One of the following is NOT one of the common key activity categories. Which one is is it?

A. Operations and ProductionB. Marketing and SalesC. Finance and AdministrationD. International Business

Q2: Complete the sentence by selecting the appropriate phrase below: "Strategic alliances are typically between...

A. ...competitorsB. ...non-competitorsC. ...multiple business ownersD. ...domestic and international partners

Q3: What are main types of key partnerships according to the lecturer’s video?A. Strategic alliancesB. Co-opetitionC. Joint-VenturesD. Buyer-Supplier Relationships

Q3: One of the following is NOT one of the cost structure categories. Which one is it?

A. Cost-Driven

B. Customer-Driven

C. Value-Driven

D. Combination

Q4: How can you describe Economics of Scale and Economics of Scope to your friends? A. Definitions? B. Examples?

Q4: In this list of Google’s main cost structure, which one can have economics of scale/ economics of scope benefits?◇R&D◇Data center operations,◇Traffic Acquisition◇Sales and Marketing.

Q5: For your business model, what are fixed and variable costs? What costs can have economics of scale/ scope advantages?

USEFUL TOOLKITS• Understand the numbers in early days vs Financial Model• Presentations of your business model canvas

3

Process to evaluate your business idea◇ Your Market opportunity◇ Test your problem/ solution fit◇ Build your MVP/ Prototype◇ Test Product/ Market fit

Should we have a financial model and track them?◇ Balance sheets? ◇ Income Statements? ◇ Cash flow reports?

“

Diving into the numbers too early, or in too much detail, or BELIEVE in over optimistic scenario is a waste of time if you have no market fact.

- Alex Osterwalder

AARRR - START UP METRICS◇ https://www.youtube.com/watch?v=irjgfW0BIrw

What to track? Ex: web start up

User Base◇Registrations (Customers who completed the registration process during the month)◇Activations (Customers who had activity 3 to 10 days after they registered. Measures only customers that registered during that month)◇Activation/Registrations %◇Retained 30+ Days◇Retained 30+/ Total Actives %◇Retained 90+ Days◇Retained 90+/Total Actives %◇Paying Customers (How many customers made $ purchases that month)◇Paying/(Activations + Retained 30+)

Financials◇Revenue◇Contribution Margin

Cash◇Burn Rate◇Months of cash left

Customer Acquisition◇Cost Per Acquisition Paid◇Cost Per Acquisition Net◇Advertising Expenses◇Viral Acquisition Ratio

Web Metrics◇Total Unique Visitors◇Total Page Views◇Total Visits◇PV/visit

Financial Model can be good for Existing Market products

◇ Financial Model is like a black box, you need to draw at least 60 scenarios from the financial model◇ How much start up costs I need? ◇ Burn rates? How many months of cash left?◇When to break even? The metrics I need to have (AARRR to reach break even)◇ Ask some experts to choose the scenario seems realistic◇ Do the market/ product fit (try to sell to customers and see if you can reach these metrics)◇ REVIEW & ITERATE/ PIVOT

TAKE ACTION!Business Model Canvas Review

4

TIPS on BUSINESS MODEL CANVAS PRESENTATION

TELL A STORYOne block at a timeOne iterates/ pivot at a time

“Smarter investors will ask “you’re showing me this number, but tell me why this is not bullshit”. It’s on the founding team to demonstrate fact to back them up.

“NO Business Plan survives the first contact with a customer.Steve Blank – Father of Lean Start up

“

LEAN START UP Principles

◇Entrepreneurs are everywhere◇Entrepreneurship is management◇Validated Learning◇Build – Measure – Learn◇ Innovation Accounting

Thanks!Any questions?You can find me at:◇ Facebook: le.h.tam◇ lehongtam1206@mail.me

CreditsSpecial thanks to all the people who made and released these awesome resources for free:◇ Is financial model dead: http://stavreas.com/is-the-financial-model-

dead/◇ Death by Revenue Plan: https://steveblank.com/2010/02/16/death-by-

revenue-plan/◇ No accounting for startups: https://steveblank.com/2010/02/22/no-

accounting-for-startups/◇ AARRR Metrics for Start up Model:

https://www.slideshare.net/dmc500hats/startup-metrics-for-pirates-sf-jan-2010/21-Startup_Metrics_ for_Pirates_ulliA