Glossary

(Business) Hypothesis

Something that needs to be true for your idea to work partially or fully but that hasn't been validated yet.

Business Model

Rationale of how an organization creates, delivers, and captures value.

Business Model Canvas

Strategic management tool to design, test, build, and manage (profitable and scalable) business models.

Call to Action (CTA)

Prompts a subject to perform an action; used in an experiment in order to test one or more hypotheses.

Customer Development

Four-step process invented by Steve Blank to reduce the risk and uncertainty in entrepreneurship by continuously testing the hypotheses underlying a business model with customers and stakeholders.

Customer Gains

Outcomes and benefits customers must have, expect, desire, or dream to achieve.

Customer Insight

Minor or major breakthrough in your customer understanding helping you design better value propositions and business models.

Customer Pains

Bad outcomes, risks, and obstacles that customers want to avoid, notably because they prevent them from getting a job done (well).

Customer Profile

Business tool that constitutes the right-hand side of the Value Proposition Canvas. Visualizes the jobs, pains, and gains of a customer segment (or stakeholder) you intend to create value for.

Environment Map

Strategic foresight tool to map the context in which you design and manage value propositions and business models.

Evidence

Proves or disproves a (business) hypothesis, customer insight, ...

Get Value Proposition Design: How to Create Products and Services Customers Want now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.