The business model canvas

List the nine building blocks of the Business Model Canvas and explain in one sentence what each one covers.

State which block of the canvas each element of a food delivery company belongs to: premises rent, the ordering app, "home-cooked food in 15 minutes", hired delivery drivers, subscriber monthly fees, and vegetable suppliers.

Say which canvas block each description corresponds to: "the most important thing the company must do for the model to work", "the assets needed to carry it out", "how the value proposition reaches the customer" and "the type of bond it establishes with each segment".

The figure shows the Business Model Canvas with its nine blocks. Identify the missing central block, marked with "?", and justify why it is considered the heart of the canvas: what would happen to the remaining blocks if it were poorly defined?

Classify these elements of an electric scooter rental company into the corresponding canvas block: the app to unlock them, the tourists and the city's students, the monthly subscription, the crews that recharge the batteries at night and the liability insurance.

For a grocery delivery app, we know: value proposition ("groceries delivered home within one hour"), customer segment (busy families), channel (mobile app), and revenue stream (commission per order). Propose, with reasons, the contents of the other five blocks: key partners, key activities, key resources, customer relationships, and cost structure.

From the canvas of a party dress rental company we know these elements, unordered: its own alterations workshop, couples going to weddings, a physical shop with a fitting room, three-day rental, "dressing up without buying", text message reminders, a partner dry cleaner's, the dress collection and the shop rent. a) Place each element in the corresponding canvas block. b) Spot which block is left unattended and complete it with a proposal.

A patisserie sells cakes only to order. In its canvas, the channels block says "home delivery across the whole city", but the key resources only include an oven and two people. Explain why the model is not viable as it is drawn and what two changes would make it coherent (limiting the delivery area, subcontracting delivery, a collection point).

In a company's canvas, these three blocks appear: value proposition "premium handcrafted product", channel "budget supermarkets", and customer relationship "one-to-one personalised service". Identify two inconsistencies between blocks, explain why they conflict, and correct the canvas to make it consistent.

Some business model patterns recur repeatedly: freemium, subscription, multi-sided platform, and long tail. Explain what each consists of and give an example of a real or fictional company that applies it.

An app that connects dog walkers with owners is a multi-sided platform: it serves two segments at once. Explain what value proposition each segment receives, why the platform needs enough users on both sides (network effect) and where its revenue can come from.

A coffee company operates under the "bait and hook" pattern: it sells its domestic coffee machine at cost price ($30\ \text{€}$) to build a captive customer base and earns a $70\ %$ margin on its patented capsules ($0,50\ \text{€}$ retail price with a cost of $0,15\ \text{€}$ per capsule). Each customer consumes an average of 400 capsules per year.

After the patent expires, store brands enter the market with compatible capsules at $0,25\ \text{€}$, causing $40\ %$ of its portfolio of $20.000$ customers to switch to buying exclusively compatible capsules.

1. a) Calculate the change in total annual contribution margin suffered by the company from capsule sales following the loss of the patent.
2. b) Explain which two blocks of the canvas are in conflict as a result of this change in the competitive environment.
3. c) Management proposes to compensate for the loss by raising the price of the coffee machines to $75\ \text{€}$. Critically evaluate this decision within the logic of the bait and hook pattern and predict its impact on acquiring new customers.