Business Canvas Model: Healthy Fast Food Truck Business in the UK

This report presents a comprehensive Business Canvas Model for a Healthy Fast Food Truck, exploring key components such as value propositions, customer segments, channels, and customer relationships. The analysis delves into the infrastructure, including key activities, resources, and partner networks essential for the business's operation in the UK market. Financial aspects, such as cost structure and revenue streams, are also thoroughly examined, providing a holistic view of the business model. The report emphasizes the importance of aligning business activities to maximize efficiency and customer satisfaction, highlighting the strategic considerations for launching and sustaining a successful Healthy Fast Food Truck business. Desklib offers a wealth of resources, including past papers and solved assignments, to support students in their academic endeavors.

Running head: BUSINESS CANVAS MODEL
BUSINESS CANVAS MODEL
Name of the Student
Name of the University
Author Note

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Executive Summary
The given report elaborates upon the Business Canvas Model of the selected Business Idea, which is A
Healthy Fast Food Truck. All the components of the Business Model have been discussed with the help
of a business model canvas. The various concepts behind the model have been explained briefly along
with the application to the chosen business idea. The report includes an Introduction in the first section
followed by a brief note about the business idea. The business canvas model is then explained with
respect to the Healthy Fast Food Truck. A template is also presented along the report for understanding.

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Table of Contents
Introduction......................................................................................................................................3
Application......................................................................................................................................3
About the business idea...................................................................................................................3
Infrastructure....................................................................................................................................4
Key activities...............................................................................................................................4
Key resources...............................................................................................................................4
Partner Network...........................................................................................................................5
Offering............................................................................................................................................6
Value Proposition........................................................................................................................6
Customers........................................................................................................................................7
Customer segments......................................................................................................................7
Channels..........................................................................................................................................8
Customer relationships....................................................................................................................8
Finances...........................................................................................................................................9
Cost Structure..............................................................................................................................9
Revenue Streams.......................................................................................................................11
References......................................................................................................................................13

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Introduction
A business model canvas can be described as a strategic management tool and a start up
template for developing new ideas and documenting them in the existing business model of the
company. It can be stated to be a visual chart with various elements describing the service or the
product`s value proposition, customers, cost structure and infrastructure (Hollensen 2015). With the
help of a model canvas, a business can align its activities by recognizing and illustrating the potential
tradeoffs.
The idea of business model canvas was originally proposed by Alexander Osterwalder who
based this on his previous work on Business Model Ontology.
Application
The business model canvas can be printed on a large surface so that people from different
people from different departments can easily work on it with notes and markers.
About the business idea
The business idea chosen for the assignment is a Healthy Fast Food Truck and delivery system.
The craze for fast food items is old. From children to elders, it does not fail to attract the crowd and is a
favorite of all. However, after analyzing the latest trends in the food industry it can be stated that
people are becoming more health conscious and therefore if the fast food concept is blend with the
healthy food concept then it will be a success (Sheth and Sisodia 2015). This can be done through
various methods where healthy food products will be utilized in making the fast foods. The truck
concept is new and will be widely successful because of its accessibility throughout the cities in the
chosen country. The country chosen is the United Kingdom. The reason behind choosing this company
is that it is a tourist attractor and is visited by millions of tourists annually. Very often, these tourists ted

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to face a problem with respect to the food available in the cities (Armstrong et al. 2015). Hence, the
main objective of the Healthy Fast Food truck is to provide healthy and affordable food to the various
groups of customers that are good in taste and easy on pocket.
The next section describes the description of the business canvas model for the given business idea:
Infrastructure
Key activities
The primary activities in which the business`s value proposition lies. This is the key activity of
the enterprise.
Application to Healthy Fast Food Truck
The key activity of the concerned business organization-the Healthy Fast Food Truck, is
creating an efficient supply chain in order to drive down the costs and provide excellent service to the
customers seeking to have a healthy meal.
Key resources
These are the resources, which are necessary in order to create value for the given consumer.
These resources are extremely important for the efficient running of the business enterprise (Bresler
and Lubbe 2014). The resources of the company are often considered the assets of the company,
without which the business cannot be sustained and supported. These resources can be of various types
like financial, physical and intellectual.
Application to Healthy Fast Food Truck
The key resources required for the Healthy Fast Food Truck are stated below:

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Trucks- The truck that will be roaming around the city will be the key assets of the business. It
is an on-wheel business, which is bound to require a proper transport.
Human Resource- There will be various kinds of human resources required for the business like
chefs, truck drivers, waiters, delivery boys, managers, telesales for delivery intake and others
Food raw materials - Since the business is based around a fooding business, vegetables, fruits,
bread and other relevant products are the key resources (Keller and Kotler 2016).
Office- Apart from transportation, the business will also require a set office where all the paper
work, delivery service and other relevant things will take place. An office will be required at
every city.
Data base software- A proper database and navigation software will be required which will be
able to keep a record of customers, track the trucks, and enable the success of the business by
integrating the core operations of the business.
Financial resources- These are the resources, which are essential for the business. Finance is
known as the blood of the business, which will enable the business to look after and purchase
all other resources.
Partner Network
The partner network helps any business enterprise to reduce the risk and optimize the operations
of the business. This helps the business to give rise to a buyer-supplier business so that the business
will be able to focus on its core operations (Kotler et al. 2016). These are the complementary business
alliances that can be taken to be joint ventures, strategic alliances between various competitors and
non-competitors.
Application to Healthy Fast Food Truck

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The main objective of the healthy Fast Food Truck is to make sure that it serves the customers
with a healthy meal. In order to concentrate on its core activity, the business should form an alliance
with various suppliers of fresh foods, breads and other food ingredients so that their quality issues do
not come in the way of the business. By doing this the company will be able to concentrate more
efficiently on its core offering.
Offering
Value Proposition
The value proposition can be described as the collection of products as well as the services,
which will be offered to the consumers in order to meet their needs. The value proposition of a
company is extremely important as it helps the company to distinguish itself from the competitor
(Boons and Lüdeke-Freund 2013). The value proposition to the customer is provided throw its
newness, customization and price. The value proposition of the business may be:
Quantitative: Price and efficiency as well as,
Qualitative: which is overall customer experience and outcome?
Application to Healthy Fast Food Truck
The value proposition of the Fast Food Healthy Truck is to provide the customers with tasty as
well as healthy food. This proposition is the primary reason behind the concept of the business, which
aimed to combine the characteristics of both fast food as well as healthy food. This will provide greater
variety to the consumers by helping them to choose a better healthy lifestyle along with good taste.

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Customers
Customer segments
The business cannot serve all the customers in an enterprise. The business must make sure that
it serves only a particular chosen market segment, which is most attractive to the business enterprise
(Casadesus‐Masanell and Zhu 2013). By doing so it will be able to provide better services to the
particular group of consumers and help them to become a leader in the particular business domain. The
different segments include:
Mass market- Where the company or the specific business organization requires no
segmentation and can be utilized by a wide variety of clients.
Niche market- refers to the segmentation of customers based on particular needs and
requirements
Segmented- In this case, the customers are segmented based on a particular segmentation base
such as gender, income or age (Veit et al. 2014).
Diversify: In this system, the company targets two or more customers at the same time.
Application to Healthy Fast Food Truck
The chosen type of Customer segmentation for Healthy Fast Food Truck is the mass market. All
age groups and kinds of people enjoy having a good meal. Hence, there is no specific target available
for the given business. The tourists visiting the United Kingdom often face a problem whereby they do
not find their choice of food (Bohnsack, Pinkse and Kolk 2014). The truck can cater to the needs of
these customers and the normal residents. The delivery system also provides suitable options for the
business as it helps to cater to those customers who are unable to buy it from the truck directly.

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Channels
The company needs a channel to deliver its value proposition to the customers through a proper
medium and channel. A better channel will be able to provide better value proposition to the consumers
(Muhtaroglu et al. 2013). A customer can reach out to its consumers through its own either channels or
partner channels various ways.
Application to Healthy Fast Food Truck
Healthy Fast Good truck can deliver value to its consumers through its own channel. It is using
its own truck to deliver the various parcels as well as taking it around the city so that the consumers can
easily avail the given service. In future, the business can also adopt a partnership with an external
service so that the company can easily concentrate on the value proposition and improve its service.
Customer relationships
It can be defined as the relationship between the buyer and the seller. In order to make sure that
the business succeeds it is extremely important that the company must identify the kind of business it
has and what value system it must insert in the particular business enterprise. The various types of
relationships are:
Personal assistance: This is provided to the shopper on a one to one basis during sales or after
the sales. This system is at times extremely dedicated by providing special assistance to the
employees.
Self-service: Some restaurants and cafes provide self-service system where the various
consumers need to take and bill the goods on their own. Here the consumers need to provide the
relevant tools needed to serve themselves (Reim, Parida and Örtqvist 2015).
Automated Services: This is quite similar to self-service but is more personalized, as the system
is able to understand the customers and his or her preferences.

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Communities: Various customers tend to form communities together and then interact among
one another. Knowledge is shared among the various customers and then this will help to solve
queries and issues between different customers.
Application to Healthy Fast Food Truck
The customer relationship in the case of Healthy Fast Food Truck tends to provide Personal
Assistance to the various customers. The database of the consumer will be maintained which will help
the firm to estimate the preferable choice of the customer. The new customers will be provided with
assistance as to their choice of order and predict the most appropriate product based on their
preferences.
Finances
Cost Structure
The cost structure of a business describes one of the most important and relevant aspect of any
business enterprise. This tends to describe the various business models.
Classes of Business Structures are:
Cost driven: This kind of a business model tends to minimize the costs and tend to have no
frills.
Value drive- This is more concerned on creating value for the consumer (Joyce and Paquin
2016)
Business structure of Healthy Fast Food truck
It tends to provide a value driven cost structure whereby the firm will provide value for its
services, provide tasty as well as healthy food for its customers and charge the customer accordingly.

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Characteristics of Cost structures:
Fixed cost structures-In the given case the costs are charged under different applications, which
are fixed.
Variable costs structure- whereby the costs fluctuate on the amount of production.
Economies of Scale- The costs tend to go down as the production increases.
Cost structure of Healthy Fast Food Truck
Costs Amount( In €)
Fixed Costs
Trucks (Five) 20000
Office Space 5000
Human Resource 10000
Technology 15000
Inventory 7000
Variable Costs
Food items 50 p. u
Packaging items 10 p.u
Staff wages 20/hr
Revenue Streams
Revenue streams can be described as the way in which the company earns money. There are
several ways to earn money, which is described below:
Asset Sale- Selling off the ownership of an asset to other corporations

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Usage Fees- It is the income generated from the usage of a particular service
Subscription Service- A continuous service is provided and revenue is earned.
Lending- Many people lend their services and earn a huge amount of income.
Selling- Many people sell their products and services for a one time transaction and earn a high
amount of profit (Osterwalder and Pigneur 2013).
Application for Healthy Fast Food Truck
The Healthy Fast Good Truck follows a selling structure where it provides the customer with a
product and earns revenue on the difference between the cost and selling price. The selling price of the
product takes into consideration the costs of goods and operating expenses. The company keeps a
considerable amount of profit percentage and therefore it has a simple revenue model.

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References
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Boons, F. and Lüdeke-Freund, F., 2013. Business models for sustainable innovation: state-of-the-art
and steps towards a research agenda. Journal of Cleaner Production, 45, pp.9-19.
Bresler, M. and Lubbe, I., 2014. Marketing management.
Casadesus‐Masanell, R. and Zhu, F., 2013. Business model innovation and competitive imitation: The
case of sponsor‐based business models. Strategic management journal, 34(4), pp.464-482.
Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.
Joyce, A. and Paquin, R.L., 2016. The triple layered business model canvas: A tool to design more
sustainable business models. Journal of Cleaner Production, 135, pp.1474-1486.
Keller, K.L. and Kotler, P., 2016. Marketing management. Pearson.
Kotler, P., Keller, K.L., Ancarani, F. and Costabile, M., 2014. Marketing management 14/e. Pearson.
Muhtaroglu, F.C.P., Demir, S., Obali, M. and Girgin, C., 2013, October. Business model canvas
perspective on big data applications. In Big Data, 2013 IEEE International Conference on (pp. 32-37).
IEEE.
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contribution of IS. Journal of the Association for information systems, 14(5), p.237.

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Reim, W., Parida, V. and Örtqvist, D., 2015. Product–Service Systems (PSS) business models and
tactics–a systematic literature review. Journal of Cleaner Production, 97, pp.61-75.
Sheth, J.N. and Sisodia, R.S., 2015. Does marketing need reform?: Fresh perspectives on the future.
Routledge.
Veit, D., Clemons, E., Benlian, A., Buxmann, P., Hess, T., Kundisch, D., Leimeister, J.M., Loos, P. and
Spann, M., 2014. Business models. Business & Information Systems Engineering, 6(1), pp.45-53.