Creating a Winning Business
Project 2 Workbook:
Business Model Canvas - Iteration and Reflection
Student ID: Doina Simona Ifrosa
Lecturer: Stella
Submission Date: 22/07/2022
NOTES
1. You should stick to one page for each of the parts. To achieve this, you may reduce the font size if needed (no smaller then 8) and you can delete the
guidance words in italics
2. Make full use of the Guide questions in italics in the Workbook
3. For Versions 2 and 3 of your BMCs – you ONLY need to show the changes from the previous version
In the box below, please explain in simple terms, your business idea. Maximum of 100 words
“Be the architect of your dreams car “
The business model here is based on the sale of old automobiles, even those owned by individuals, with the additional service of customising the outside
of the vehicle to suit the buyer's preferences. Our firm will have both a digital and a physical presence in the form of a complete website that displays
the variety of automobiles, their quality, mileage, and efficiency rating. Customers who want a car but can't afford to purchase a new one will be the
focus of the company's business strategy.
Page 1
Business Model Canvas Version 1: Initial Idea (Maximum 400 words for the page)
Cost Related
Revenue Related
Key Partners
Key Activities
Value Propositions
Used car dealers for car
procurement.
Digital used car sellers for
partnership to get access to
latest used cars.
Offline car suppliers to
develop a large inventory of
used cars.
Suppliers
of
car
customization tools such as
rims and custom wheels.
In order to deliver on the
promised value preposition to
the customers, our business
will have to procure and
purchase a lot of sued cars,
check them for quality and
price them appropriately.
The main value proposition
that we are providing with
this business involve giving
people the valuable option of
purchasing their own vehicles
at a decent price while also
hoping the utility to customize
it.
The financial streams will
occur from quality-oriented The main pain point of the
sales
and
exterior customers that we are solving
customization.
is exorbitant first-hand car
prices along with wider
selection of cars to choose
form.
Key Resources
Procuring and purchasing
used cars and then selling it
to customers at economic
rates, exterior customization
and quality checks.
The major revenue stream
will come from sales of cars
boosted by strong ethical
standards as this segment is
very lucrative but held back
by unethical practices.
Marketing & Sales
Communication
The website will be marketed
and used as a primary means
of digital marketing, and we
will have social media
channel on Facebook.
Customer Segments
We are creating value for the
people who are interested to
buy a used car from a wide
selection of cool looking
brands and those who would
like a vehicle which is
traditionally not in their
budget range.
Our offline premises will be
marketed with word-of-mouth
campaigns, leaflets, banners, Primary customer segments
and auto event participation. include:
Single bachelors
Families
Product & Service Delivery
Channels
Retired people
Cars that will be ordered for Auto enthusiasts
purchase
through
the
business website will be
delivered on the given
address by our executives
who will hand over the keys
and complete documentation
Physical store will sell the car
directly in the store vicinity
after
formalities
are
completed
End of page 2
Page 2
Business Model Canvas Version 1: Reflection (Maximum 400 words for the page)
Explain the history behind your idea: There are various people who are fond
of luxury cars and modification. The process of modification varies from work
to work. Many people want to buy a new car but due to financial condition
they cannot. Many car lovers want to customise their cars and sometimes it
becomes costly, and they do not afford. The business plan which I have chosen
will solve problem of many as it allows to buy second-hand cars along with
customisation. This makes people to opt for this middle option. There is various
modification that can be done for a car in a cheaper price. It will help people
to have car at an affordable price along with customisation.
Idea came from my husband, who is a mechanic engineer as well, very fond of
cars after he customised my small SMART car fulfilling my wish, as we could
not afford to buy a new one, so I have decided to solve this common problem
of many people.
Reflection: Action learning set is different and more effective than individual
learning as it gives insights of various people rather than individual. The
learning of various people can be reflected in action learning set. Problem can
be solved in an easier way in case of action learning set. There are various
people who can contribute by giving creative and innovative decision in order
to get better solution of problem. Individual reflection limits the innovation
and creative as it is done by individual. While on other hand, action learning
set invites opinions from various people and to solve problem effectively.
Assumptions: The main assumption behind this business plan is that people
who are fond of car customisation and cannot afford new cars will surely opt
for this option. It will help in saving money along with getting modification at
low price. The other assumption for this business model is that people will
prefer old car customisation rather than new car. There are various people
who prefer second-hand cars along with modification. It saves in saving money
along with getting customisation.
Page 3
Business Model Canvas Version 2: After the Pitch (just provide changes since last version) Maximum 400 words for the page.
Cost Related
Revenue Related
Key Partners
Key Activities
Value Propositions
Used car dealers for car procurement.
Digital used car sellers for partnership
to get access to latest used cars.
Offline car suppliers to develop a large
inventory of used cars.
Suppliers of car customization tools
such as rims and custom wheels.
In order to deliver on the promised
value preposition to the customers, our
business will have to procure and
purchase a lot of sued cars, check them
for
quality
and
price
them
appropriately.
The main value proposition that we are
providing with this business involve
giving people the valuable option of
purchasing their own vehicles at a
decent price while also hoping the
utility to customize it.
The financial streams will occur from
quality-oriented sales and exterior
customization.
The main pain point of the customers
that we are solving is exorbitant firsthand car prices along with wider
selection of cars to choose form.
The key partners of the business need to
be better thought out which is why other
digital car dealers will also be
partnered with for technical expertise
exchanging
Quality checks on every used car that
the business procures or purchases in
an important activity that was added
post pitch
Key Resources
Procuring and purchasing used cars
and then selling it to customers at
economic rates, exterior customization
and quality checks.
The major revenue stream will come
from sales of cars boosted by strong
ethical standards as this segment is very
lucrative but held back by unethical
practices.
In order to initially setup the business
and keep a regular flow of used cars
incoming, need of business loans
regularly will also be a key resource
consideration
Cost Structure
After identifying the trends of the
industry, the value proposition will also
include rental car services
Marketing & Sales
Communication
The website will be marketed and used
as a primary means of digital
marketing, and we will have social
media channel on Facebook.
Our offline premises will be marketed
with
word-of-mouth
campaigns,
leaflets, banners, and auto event
participation.
There will be extensive marketing
collaterals developed to reach street
level audience
Customer Segments
We are creating value for the people
who are interested to buy a used car
from a wide selection of cool looking
brands and those who would like a
vehicle which is traditionally not in
their budget range.
Primary customer segments include:
Single bachelors
Families
Retired people
Auto enthusiasts
Apart from targeting the people who are
looking for cars, subscription-based
models people looking for quick time
vehicles will be explored
Product & Service Delivery
Channels
Cars that will be ordered for purchase
through the business website will be
delivered on the given address by our
executives who will hand over the keys
and complete documentation
Physical store will sell the car directly
in the store vicinity after formalities are
completed
There will be additional digital delivery
channels built for selling separate
customizing parts
Revenue Related
The initial investments in getting the business on the road will cost The revenue stream from car sales won’t be enough which is why use of
approximately £ 100,000 which will be facilitated partly through loans and subscription and vehicle diversity will be added in the business plan as
personal funding
people are looking for quick getaways through rentals.
Page 4
Business Model Canvas Version 1: Initial Idea (Maximum 400 words for the page)
End of page 4
Page 5
Business Model Canvas Version 2: Reflection (Maximum 400 words for the page)
Pitch: The pitch was developed by me through very careful considerations and
authentic market research into the UK’s used car industry and the automobile
sector at large which is a combination of the industry’s attractiveness and my
husband and me personal liking towards the industry as we were always fond
of looking into new cars. The pitch involved various details which one
considers while developing their own businesses, but I was shocked at the
amount of hard work and various decisions which are very complex in nature
that goes into making a business pitch. I was overwhelmed by the number of
things that I needed to deduce and plan on as I was under the false suspicion
of just setting one basic business plan and just expanding it as the time goes
on. This led to the content being a little underdeveloped and some details such
as cost estimation.
Assumption Testing: One of the major assumptions behind planning this
entire business plan was that people are interested in buying sued cars over
purchasing brand new ones and market research revealed that the only reason
people do not prefer used cars is because of the tag of ethical malpractices
attached to the industry which provides us an avenue to exploit through
promising greater quality products. Another major assumption that the
business plan took is that the only reason used cars are not trusted is because
of no guarantee of quality which also turned out to be true according to the
market surveys that we undertook which means that if superior quality checks
are put in place, our used cars businesses can look forward to a positive start.
The final assumption of subscription-based models being the need of the hour
also turned out to be true after local and global auto industry trends.
Comment on your Action Learning Set: Instead of depending upon
individual reflection for the purpose of streamlining one’s own experience,
being the part of an action learning set was much more fruitful for me as I got
a lot of constructive criticism. One of the major comments which I got involved
that my plan lacked concrete financial measures and cost estimations which I
duly changed after I delivered my initial business pitch, and the group was also
very knowledgeable about supply chain and logistics which helped me plan
one of the areas of business development that I was uncomfortable in.
End of page 5
Page 6
Business Model Canvas Version 3: Final Refined Version (just provide changes since last version) Maximum 400 words for the page.
Cost Related
Key Partners
Key Activities
Used car dealers for car procurement.
Digital used car sellers for partnership
to get access to latest used cars.
Offline car suppliers to develop a large
inventory of used cars.
Suppliers of car customization tools
such as rims and custom wheels.
In order to deliver on the promised
value preposition to the customers, our
business will have to procure and
purchase a lot of sued cars, check them
for
quality
and
price
them
appropriately.
The key partners of the business need
to be better thought out which is why
other digital car dealers will also be
partnered with for technical expertise
exchanging
Local used car dealers and agents
Car part and customizable tolls
suppliers
Digital websites which keep track of
used cars in the market
The financial streams will occur from
quality-oriented sales and exterior
customization.
Quality checks on every used car that
the business procures or purchases in
an important activity that was added
post pitch
Used car procurement
Rental services for used cars
Subscription based model for cars
Both
interior
and
exterior
customization options such as changing
the material and colour of seats
Key Resources Procuring and
purchasing used cars and then selling
it to customers at economic rates,
exterior customization and quality
checks.
The major revenue stream will come
from sales of cars boosted by strong
ethical standards as this segment is very
lucrative but held back by unethical
practices.
Revenue Related
Value Propositions
The main value proposition that we are
providing with this business involve
giving people the valuable option of
purchasing their own vehicles at a
decent price while also hoping the
utility to customize it.
The main pain point of the customers
that we are solving is exorbitant firsthand car prices along with wider
selection of cars to choose form.
After identifying the trends of the
industry, the value proposition will also
include rental car services
Providing used cars at a cheap price for
the lower middle- and middle-class
people of UK
Offering
interior
and
exterior
customization for the purpose of
personalization
Subscription based model on the basis
of which people can rent cars for their
specific needs
Marketing & Sales
Communication
The website will be marketed and used
as a primary means of digital
marketing, and we will have social
media channel on Facebook.
Our offline premises will be marketed
with
word-of-mouth
campaigns,
leaflets, banners, and auto event
participation.
There will be extensive marketing
collaterals developed to reach street
level audience
Integrated marketing communications
campaign using various social media
channels and opening company’s
YouTube channel
Customer Segments
We are creating value for the people
who are interested to buy a used car
from a wide selection of cool looking
brands and those who would like a
vehicle which is traditionally not in
their budget range.
Primary customer segments include:
Single bachelors
Families
Retired people
Auto enthusiasts
Apart from targeting the people who
are looking for cars, subscriptionbased models people looking for quick
time vehicles will be explored
People looking for quick vehicle needs
for planning vacations and getaways
People with quick time car rental needs
Driving instructors.
Product & Service Delivery
Channels
A dedicated online and offline channel
will be setup for the sale of tools which
allow car customization and used car
parts
In order to initially setup the business
and keep a regular flow of used cars
incoming, need of business loans
regularly will also be a key resource
consideration
Financial assistances from institutions
Used car market, most of the resources
being physical
Customer relations built on the
principles of product quality and
Page 7
Business Model Canvas Version 3:
transparency in documentation and
access to 30-day guarantee and demo
availability
Cost Structure
The business model’s subscription focus will help tune down a lot of cost by
bringing in a new stream of consistent revenue and there is hope of economies
of scale in the department of selling customization tools and used car parts
Revenue Related
The newfound outlook on used car rental subscription service being offered in
both online and offline ways will bring in much needed revenue streams and
this can even be upscale in time as business picks up
End of page 6
Page 8
Business Model Canvas Version 3: Reflection (Maximum 400 words for the page)
Iterative Journey: The initial business idea was quite simple on paper as it
simply involved us buying used cars and building a large portfolio of used cars
which we then either sell directly to the customers at a fair price below the
first-hand rate provided by the top rate car dealers while also giving options
of exterior customization. This changed midway during the development of the
business pitch and the market research which was conducted. Apart from
simply focusing on providing used cars to the people, detailed standards of
quality checking were implemented to secure the customers trust and the
decision to give 30-day guarantee and driving demo on site was included to
make the business more reliable. Market analysis also revealed that people
are more interested in subscription-based models which is why the business
plan also included the decision to start providing used cars on rental basis
based on the duration and model of the car needed. The assumptions were
tested using live interviews and market surveys and assumptions regarding
subscription models being preferred was taken into consideration
Competitor Insight: Direct and indirect completion are parts of the same
book but slightly differ from one another as business concepts as direct
competitors offer the same service to the same target group of people, but
indirect competitors offer a slightly different service to the same market. Direct
competitors of our business include Auto trader which sells used cars online
and one major thing that our business borrowed from them is the ability to
build a dominating digital space for the business based on quality and
reputation. Some of our indirect competition includes motorbikes4all which
caters to the used bike market. Our business model is built to shadow over
these companies in the following manner.



Providing used cars of the highest quality at low prices
Providing a transparent document regarding the quality checks done
on the cars and giving 30-day guarantee along with demo utility
Providing a wide variety of used cars on a subscription based rental
model
Cost & Risks:
One of the biggest risks that is associated with this business project is the inability to
procurer a decent inventory of used cars as people in this category tend to be very
selective. This can be overcome by using proper and varied sources of procurement.
The funding required initially will be extensive which will be fulfilled through business
loans and personal funding’s.
End page 7
Page 9
References
List of Web Resources (at least 3)
List the web sites that you have used for your research. Note: you don’t have to cite
them using the Harvard author-date format in the previous pages; you can just list
them here e.g.
Academic Sources (at least 3)
These should be listed in full Harvard Format below and in authordate format in the earlier pages e.g., on page 3 you might say
“reflection is a form of looking back (Smith, 2014)” and below you
would cite this fully:
http://grasshopper.com/blog/startup-competition-guide/
Smith J. (2014) Theories of Reflection, 2nd. Edn., Prentice Hall:
London
Cheah, J., Amran, A. and Yahya, S. (2019) External oriented
resources and social enterprises’ performance: The dominant
Used Cars Market by Vehicle Type (Hatchback, Sedan, and SUV), Fuel Type (Petrol, mediating role of formal business planning. Journal of Cleaner
Diesel, and Others), and Distribution Channel (Franchised Dealer, Independent Dealer, Production, 236, p.117693.
and Others): Global Opportunity Analysis and Industry Forecast, 2020–2027, 2022
[online] available through
Jimenez G, H., Orrego R, T. & Cavalcante, C. (2019) Order
https://www.alliedmarketresearch.com/used-cars-market-A06429
planning policies for business-to-consumer e-tail stores. Computers
& Industrial Engineering, 136, pp.106-116.
How to Write a Business Plan, Step by Step, 2022 [online] available through
https://www.nerdwallet.com/article/small-business/business-plan?
Mishra, V. and Das, B. (2018) Reducing Perceived Risk in Purchase
of Uncertified Used Cars: Contributory Factors. IUP Journal of
Marketing Management, 17(1).
Used Car Sales Data, 2022 [online] available through
Used Car Sales Data - SMMT quarterly data archive
End of page 8
Page 10
Business Model Canvas Version 3: Final personal career & action plan (Maximum 400 words for the page)
Continuing personal career development: reflection and action plan
Critically reflect on your experience and challenge faced and the abilities you Personal action planning: The first skill I will improve by learning application of
have developed: When I was working on this business model, I have faced lot leadership style and apply to my business. This will help me in becoming effective
of challenges in terms of skills and knowledge. I was not aware about various leader. Second skill I will improve by solving issues of my peers and by evaluating
skills that are required in business for smooth functioning. I was familiar with effectiveness of my decision. I will take feedback from my peers and when issue resolve,
critical thinking skill but as I come to know more about its importance, I have I will take it as effective decision taken by me.
reading journals and articles of various successful entrepreneurs and reload
case studies how they reacted towards certain case. By this I have gained
knowledge to go at root cause and find best alternative in order to solve
problem. The other skill that I have acquired is communication skill that I
can use in communicating with team members and adequate vocabulary. It
will help me in delegating responsibility with clarity and avoids risk of
misunderstanding. It helped me in making communication process easier.
Third skill that I have gained is time management, this will help me in
managing various task at one time. I can utilise my time in other activities
and completes each project before meeting deadlines.
These talents help businesses succeed by making work simpler and more
precise. Human error is reduced. Skilled people accomplish their task well.
Having applicable expertise helped me solve issues that hampered company
operations.
Pick three skills / knowledge areas and provide reflective evidence for each
using the STAR approach briefly describe the situation/scenarios and the
task/roles (in that situation), followed by a reflection on the actions taken
and the final results.
As I have analysed that I am lacking in leadership skill which is needed to be
improved. This will help me in influencing other members of company. It is
important to have this skill as it will help me in making better decision and
guiding team towards attainment of goals. The other skill that I need to
improve is conflict management as it will provide me in resolving conflicts
Page 11
among employees. By resolving issues and concerns of employee, it will not
impact negatively on their performance and creates harmony
End of page 9
APPENDIX: Summary of Evidence of testing your MAIN assumptions (Maximum 400 words for the page). PLEASE provide detailed
information about your testing.
List your MAIN assumptions (No more than
3)
How did you test the assumption? (E.g., Give
details of who was approached; how many;
how you contacted them. OR any partners
contacted).
Summarise the results of testing. (E.g., % of
people liking your product/service; any
positive and/or negative comments etc.)
Page 12
People are interested in used cars over buying This assumption was tested using study of
them first-hand
secondary sources such as industry reports,
market analysis sheets and talking with used car
dealers.
According to the reports and the talks with
market dealers, almost 47% of people would like
to buy used cars which is signalling towards a
market which is being held back by lack of
quality firms
The used car market is being held by the poor This assumption was tested using the approach
ethical standards of the industry
of human talk through which multiple vehicle
owners and 9 to 5 workers were asked about
their car purchasing preference and reasons for
not trusting used cars
A staggering 80% of the people were in
agreement regarding the ethical malpractices
being the reason behind them not trusting in
used cars market and many are that a quality
company can make big bucks if they build a
proper business campaign
Subscription based business model is a rising This hypothesis was tested using conducting It was found that the people have real life and
trend in the used cars sector
market surveys, talking with owners of car quick vehicle needs which does not demand a
dealing companies
purchase and almost 56% of these people would
appreciate a subscription based rental car model
Page 13