Table 1 The nine building blocks

Customer segments

This building block is the core of any business model because if there is no satisfaction in customers, then no firm/company can survive in the market for long.

Value preposition

This building block states the services and the values provided by the company to its customers. These services solve customer’s problems and provide satisfaction to them.

Channels

This building block deals with the ways in which a company reach out to its customers about its value prepositions and also enables the customers to communicate with the company.

Customer relationships

This building block describes the type of relationship that a firm wants to build with its each customer segment. Relationship can be personal or automated.

Revenue Streams

This building block states the amount a firm generates from its customers by selling its goods and services, and this is what that keeps a firm alive and running.

Key resources

This building block states the important assets that are required to provide value prepositions to customer, to create new values and to earn revenues.

Key activities

This building block lists the various activities like maintaining customer relationships or earning revenues. A firm needs to perform in order to do well in marketplace.

Key partnerships

This building block describes the needs for which a firm has to make partners and what type or partnerships it needs to get into for a particular need. Good partnerships reduce risks and enables growth.

Cost structure

This building block states the costs that incurs in performing various important and key tasks to make a business model work. This helps in keeping track of firm’s financial resources.