Discuss Scaled Agile SAFe-APM Exam Topic 1 Question 20

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

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.

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31 comments · newest first

Vallie 11 months ago

A is too simplistic, B captures the essence better.

Vilma 11 months ago

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

Golda 11 months ago

I thought it was just for businesses, not products?

Elina 11 months ago

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

Melodie 12 months ago

BMC helps describe how value is created.

Arlie 12 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.

Marguerita 12 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?

Mozell 1 year 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.

Tamie 1 year 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.

Werner 1 year 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.

Enola 1 year 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.

Gerald 1 year 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.

Lucille 1 year 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.

Lindsay 2 years ago

The BMC is a versatile tool that can be applied to all sorts of value creation, not just revenue-generating businesses. Option A is a bit limited.

Twana 2 years ago

↳ replying to Lindsay

I think option D is definitely wrong. The BMC can be applied to both businesses and products.

Twana 2 years ago

↳ replying to Lindsay

I believe option C is incorrect. The BMC is still useful even if a product doesn't generate revenue.

Twana 2 years ago

↳ replying to Lindsay

I agree, the BMC can be used for various types of value creation, not just revenue.

Twana 2 years ago

↳ replying to Lindsay

I think option B is correct. The BMC is about how value will be created.

Carmen 2 years ago

I disagree, I think the answer is A. The BMC describes what value the business will create.

Phil 2 years ago

Haha, of course the BMC can be used for products too, not just businesses. Option D is just silly.

Pete 2 years ago

↳ replying to Phil

Delmy: Exactly, it's a tool to describe and evolve how value will be created.

Delmy 2 years ago

↳ replying to Phil

Option D is definitely not true, the BMC is versatile.

Brianne 2 years ago

↳ replying to Phil

I agree, the BMC can definitely be used for products as well.

Ligia 2 years ago

I agree with Melissia, because the BMC is about how value will be created.

Brittni 2 years ago

If a product doesn't generate revenue, a BMC can still be useful to understand the business model. Option C is misleading.

Harrison 2 years ago

The BMC is definitely a tool to describe how value is created, not just what value it creates. Option B is the correct answer.

Carmen 2 years ago

↳ replying to Harrison

Definitely, the BMC is a great tool for understanding and evolving value creation.

Andra 2 years ago

↳ replying to Harrison

I think option B is the correct answer, it's about evolving how value is created.

Raul 2 years ago

↳ replying to Harrison

Yes, it's important to understand how value is created in a business.

Bernadine 2 years ago

↳ replying to Harrison

I agree, the BMC is all about describing how value is created.

Melissia 2 years ago

I think the answer is B.

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