You are creating a target state business model. Which statement about linkages between building blocks in the business model canvas is true?

Question

Options

• ABuilding blocks on the bottom of the business model canvas affect other blocks on the bottom only
• BBuilding blocks on the right side of the business model canvas affect other building blocks on the
• CBuilding blocks in the business model canvas affect other building blocks in any permutation.
• DThe relationships between building blocks on the business model canvas are fixed.

• A
  3% (1)
• B
  14% (5)
• C
  9% (3)
• D
  74% (26)

Explanation

Option D is correct because the Business Model Canvas (BMC) defines specific, predefined relationships between its nine building blocks - these connections are structural features of the framework, not arbitrary. For example, Value Propositions are always linked to Customer Segments, Revenue Streams flow from Customer Relationships, and Cost Structure is always driven by Key Activities and Key Resources. These linkages are fixed by design.

Why the distractors are wrong:

• A is wrong because bottom-row blocks (e.g., Cost Structure) are directly influenced by blocks throughout the canvas, including top-row blocks like Key Resources and Key Activities.
• B is wrong (and appears truncated) because right-side blocks - such as Customer Segments and Revenue Streams - do not influence only right-side blocks; they interact with left-side operational blocks as well.
• C is wrong because building blocks do not affect each other in any arbitrary permutation - the framework defines which blocks connect to which, not a free-for-all.

Memory tip: Think of the BMC as a circuit board - components are connected by fixed pathways, not random wires. Changing one block (e.g., targeting a new Customer Segment) triggers changes along specific, predetermined paths, not everywhere at once.

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