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In this lesson, the video discusses the business model canvas, outlining nine steps to create your first business model and providing examples for clarity. It defines a business model as a plan detailing a business's successful operation, identifying sources of revenue, target customers, products, and financing details. Essentially, a business model illustrates how a business's key drivers interconnect. The speaker highlights the complexity of documenting this information, suggesting that fitting it all into a standard document would require multiple pages, making it challenging to comprehend and manipulate mentally.