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The organization's business model consists of nine building blocks: customer segments, value proposition, channels, customer relationships, revenue streams, key resources, key activities, key partners, and cost structure. To effectively create a business model, these building blocks should be mapped out on the business model canvas, a tool for mapping, discussing, designing, and inventing new business models. Customer segments are the people or organizations for which you create value, with specific value propositions for each segment. Channels describe how you reach customers, and customer relationships are key. Revenue streams, key resources, activities, partners, and cost structure are also important factors to consider.
