Scaled Agile SAFe-APM Exam - Topic 1 Question 20 Discussion

Actual exam question for Scaled Agile's SAFe-APM exam

Question #: 20
Topic #: 1

[All SAFe-APM Questions]

Which statement is true about the business model canvas (BMC)?

AIt is a tool to describe what value the business will create

BIt is a tool to describe and evolve how value will be created

CIf a product does not generate revenue, a BMC is not useful

DIt only works for businesses, not for products

Show Suggested Answer

Suggested Answer: B

The BMC is a strategic management tool that lets you visualize and assess your business idea or concept. It consists of nine boxes that represent different fundamental elements of a business, such as customer segments, value propositions, channels, and cost structure. The BMC helps you to design, analyze, optimize, and communicate your business model, and to test and iterate it as you learn from the market feedback. The BMC can be used for any type of business or product, regardless of whether it generates revenue or not, as long as it delivers value to the customers.

Business Model Canvas - Wikipedia: This article from Wikipedia explains the concept and history of the BMC, and describes its nine building blocks and their relationships.

Business Model Canvas: Explained with Examples | Creately: This article from Creately provides a detailed guide on how to create a BMC, with examples and templates for different types of businesses and products.

Business Model Canvas -- Download the Official Template: This website from Strategyzer offers the official template and online courses, books, and webinars to master the BMC.

by Paulina at Sep 19, 2024, 10:57 AM

Limited Time Offer

25%

Off

Get Premium SAFe-APM Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Vallie

5 months ago

A is too simplistic, B captures the essence better.

upvoted 0 times

...

Vilma

5 months ago

Wait, if a product doesn't make money, how can BMC help?

upvoted 0 times

...

Golda

5 months ago

I thought it was just for businesses, not products?

upvoted 0 times

...

Elina

5 months ago

Totally agree, it's all about evolving the business model!

upvoted 0 times

...

Melodie

6 months ago

BMC helps describe how value is created.

upvoted 0 times

...

Arlie

6 months ago

I don't recall the BMC being limited to just businesses; I thought it could apply to products too. So, I'm leaning away from option D.

upvoted 0 times

...

Marguerita

6 months ago

I feel like option C might be misleading. Just because a product isn't generating revenue doesn't mean the BMC isn't useful, right?

upvoted 0 times

...

Mozell

6 months ago

I remember practicing a question similar to this, and I think option B sounds right because it emphasizes the evolving nature of value creation.

upvoted 0 times

...

Tamie

6 months ago

I think the BMC is definitely about describing value creation, but I'm not sure if it's just about what value will be created or how it evolves over time.

upvoted 0 times

...

Werner

6 months ago

Wait, I'm a little confused. Doesn't the business model canvas apply to both businesses and products? I'm not sure if option D is correct. Let me re-read the question and the answer choices again carefully.

upvoted 0 times

...

Enola

6 months ago

Okay, the business model canvas is all about how a business creates, delivers, and captures value, right? I think option B is the best answer here, but I'll double-check my notes just to be sure.

upvoted 0 times

...

Gerald

6 months ago

Hmm, I'm a bit unsure about this one. The business model canvas is a tool, but I can't quite remember if it's for describing value creation or something else. I'll have to think this through step-by-step.

upvoted 0 times

...

Lucille

6 months ago

This looks like a straightforward question about the business model canvas. I'm pretty confident I know the answer, so I'll just read through the options carefully and select the correct one.

upvoted 0 times

...