The Role Of The Business Model Canvas

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A critical review of articles exposing the role of the business model in creating value for the business and how this relates to the Business Model Canvas.

Introduction
This analysis discusses four articles that examines the concept of the business model, how it complements a business strategy. They introduce frameworks to assess and categorize business models through the importance of the value proposition. In Business Models: A Challenging Agenda, Baden-Fuller and Mangematin (2013) introduce a four-prong typology to discuss the value proposition through value creation and capture and how a business model is not a complete description and is alterable. Johnson, Christensen and Kagermann (2008) focus on the understanding and analysing a business model to decide if it needs re-inventing (change) or if it can be applied to a new business. In Why Business Matter, Joan Magretta (2002) writes about testing the …show more content…

As such, it fits within Baden-Fuller and Mangematin typology. The four elements of their typology focus on the customers, customer engagement, monetization and value chain and linkages (Baden-Fuller & Mangematin, 2013). While they created the typology as a classification method (Baden-Fuller & Mangematin, 2013, p. 11), the business model canvas is use to define your business model and help to create value for the enterprise.

Looking at the Canvas, we can map the 9 elements it contains to the typology offered by Baden-Fuller and Mangematin. The Customers typology maps to the Customer Segment of the canvas. The Customer Engagement is relevant to the Customer Relationships, Channels and Value Proposition groupings. Monetization is the equivalent of Cost Structure and Revenue streams. Finally, Value Chain and Linkages represents Key partnership, Activities and

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