Business Model Canvas & Lean Startup

Vocabulary flashcards covering the components of the Lean Canvas, Business Model Canvas adaptation, Problem/Solution fit, Product/Market fit, and the Uber case study application.

Business Model

A plan outlining how a company intends to generate sales and make money ($); the best guess about what a company will get paid for, calculated conceptually as Revenue model $-$ Cost model.

Business Model Canvas to Lean Canvas Adaptation

The adaptation of the traditional Business Model Canvas into the Lean Canvas, crossing out Key Partners, Key Activities, Key Resources, and Customer Relationships to replace them with Problem, Solution, Key Metrics, and Unfair Advantage.

Problem (Lean Canvas)

The block dedicated to defining the top customer pains, providing proof that the problem actually exists, and specifying exactly who experiences it.

Solution (Lean Canvas)

The section describing the core features of the product or service designed to address the customer's defined problems and deliver on the value proposition.

Unique Value Proposition (Lean Canvas)

A clear statement describing the unique value provided that customers will pay for, focusing on customer benefits, pain relievers, and gain increasers rather than just product features.

Unfair Advantage (Lean Canvas)

Something that cannot be easily copied, bought, or replicated by competitors, explaining why the company's offering is distinctly better and difficult to copy.

Customer Segments (Lean Canvas)

The component that identifies who the problem is being solved for, who will buy the product, target subgroups, and specific early adopters.

Channels (Lean Canvas)

The pathways and methods used to reach customers, raise awareness, distribute the product, and acquire new users (e.g., PR, social media, referrals, app stores).

Cost Structure (Lean Canvas)

All the operational expenditures and factors required to deliver the product or service, including technology infrastructure, software development, marketing, and recruitment.

Revenue Streams (Lean Canvas)

The methods by which a business makes money and charges customers for solving their problems, including fare percentages and dynamic pricing models.

Key Metrics (Lean Canvas)

The specific quantitative measurements a startup tracks to evaluate business progress, operational performance, and benefit delivered to the customer.

Problem/Solution Fit

The milestone achieved when an entrepreneur validates that a customer problem genuinely exists and confirms that their proposed solution effectively solves it (Pain Reliever matches Pain).

Product/Market Fit

The condition of being in a viable market with a product capable of satisfying that market (Gain Creators match desired Gains).

Early Adopters (Uber Case Study)

The initial customer subgroups targeted by Uber, specifically public transport riders and young taxi users between the ages of $18$ and $30$.

Problems & Existing Alternatives (Uber Case Study)

Customer pains including taxis being difficult to find, expensive, having awkward payment methods, and lacking trust in the driver, evaluated against existing alternatives like classic taxis, public transit, and rental cars.

Revenue Model (Uber Case Study)

A monetization strategy taking approximately $25\%$ of the trip fare, with dynamic pricing adjustments based on time, route, and idle time (peak pricing).

Unfair Advantage (Uber Case Study)

Competitive moats including low-price trips at the push of a button, absence of taxi-style regulations, low overhead, no required taxi medallions or licenses, and minimal direct employees.

Key Metrics (Uber Case Study)

The key performance indicators tracked by Uber, including apps installed/downloads, total trips booked, rider and driver numbers, and users referred.