I will teach “Become Your Own Boss: Effective Business Plan Writing” , a three part workshop (total 6 hours) held at Boston Center for Adult Education 122 Arlington Street Boston MA on three consecutive Thursdays 5:30 PM – 7:30 PM February 17 – March 3. Register at http://bcae.org, course #420174 or use the direct link:
The business model defines the method by which an organization creates and delivers value through products and services offered and the way in which it persuades customers to pay for that value. The business model encompasses the manufacture and marketplace delivery of products/services, how best to access prospective customers, where and how business transactions take place and customer service. The business model is the blueprint for how the venture operates in real time and makes a profit.
The business model reflects what the business owner/management team believe about what customers value, the way in which customers want that value delivered and what they will pay to obtain it. The business model can also function as an analytical tool.
Its examination can help the business owner effectively address challenges such as client retention problems, insufficient new business development, or persistent customer service snafus. It can urge the management team to find a way to lower the cost of goods sold, add or delete services, or rethink sales distribution channels.
How’s your business engine running these days? Might a tune-up be in order? Here are some questions to ask yourself and guideposts to follow as you build or refresh your business model:
- Who are the target customers?
- How can your organization best attract, acquire and retain the target customers?
- What need does your product/service fulfill or what problem does it solve?
- What perceived value does your product/service provide?
- How can you differentiate your product/service in ways that resonate with the target customers?
- How will you generate revenue?
- Where will business take place, how and when will customers pay?
- Identify and locate customers with sufficient money and motive to do business with you, preferably on a regular basis.
- Verify that there will be enough paying customers to allow the business to make a profit.
- Identify which product/service features and benefits that target customers value most highly.
- Identify the least costly source location and manufacturing process for your products/services.
- Use the most cost-effective product/service delivery system that customers will accept.
- Identify product/service add-ons and upgrades that are easy and inexpensive to provide and for which customers will pay a premium to obtain.
Thanks for reading,