Business Model Canvas Analysis Report: Nura Headphones, MGMT Course

This report provides a detailed analysis of the Nura Headphones business model, utilizing the Business Model Canvas framework to deconstruct its operations. The analysis begins with an executive summary and introduction to Nura Headphones, an innovative Australian company specializing in personalized sound technology. The report then meticulously examines the nine building blocks of the Business Model Canvas: customer segments (music lovers), key partners (technology providers, passionate team), value proposition (personalized sound), key activities (advertising, customization), channels (website, media), revenue streams (product sales, bank finances), cost structure (employee payments, app development), key resources (passionate teams, high technology, sound customization), and customer relationships (communication, social media). The report also explores the interrelationships between these blocks, critical success factors (founder Luke Campbell, cost structure, product differentiation), potential downside risks (lack of skilled employees, training costs), and potential business model changes (increased communication channels). Finally, the report concludes with recommendations for Nura Headphones, including the development of training programs and marketing activities. The report highlights the importance of employee satisfaction, product quality, and customization in Nura Headphones' success.

Running head: BUSINESS MODEL CANVAS OF NURA HEADPHONES
BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
Name of the Student
Name of the University
Author Note

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
Executive Summary
The analysis in the report is based on the business model canvas of an innovative Australian
organization named Nura Headphones. The various aspects related to business operations of
Nura Headphones are analysed in the report in detail. The aspects of the organization are
mainly based on the building blocks that are a part of business model canvas. The
coordination that has been developed between the aspects is discussed. The levels of risks
which are faced by the organization based on the nine building blocks are important part of
the discussion. The report has provided different recommendations that are related to
business operations of Nura Headphones that are as follows,
Development of effective training programs.
Formation of promotional activities.

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
Table of Contents
I. Introduction.................................................................................................................3
II. Business model..........................................................................................................3
A. Building blocks.........................................................................................................3
1. Customer segments................................................................................................3
2. Key partners...........................................................................................................4
3. Value proposition...................................................................................................4
4. Key activities..........................................................................................................4
5. Channels.................................................................................................................4
6. Revenue streams.....................................................................................................5
7. Cost structure.........................................................................................................5
8. Key resources.........................................................................................................5
9. Customer relationships...........................................................................................5
B. Interrelationships.......................................................................................................6
C. Critical success factors..............................................................................................6
D. Downside risks..........................................................................................................7
E. Business model changes............................................................................................7
III. Conclusion................................................................................................................7
IV. Recommendations....................................................................................................7
References......................................................................................................................9
Appendices...................................................................................................................11
Appendix 1 – Table 1 – Business model canvas of Nura Headphones....................11
Appendix 2 – Table 2 – Growth of Nura Headphones.............................................12
Appendix 3 – Table 3 – Financial metrics...............................................................13

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
I. Introduction
Nura Headphones is a consumer electronics related organization that has its base in
Melbourne Australia. The organization mainly manufactures and designs headphones that are
based on the personalised sound based technology. The proprietary technology of Nura
Headphones is automatically able to measure the hearing based sensitivities of the users that
are based on various frequencies. The optoacoustic emissions that are provided by different
types of the sound based technologies are monitored effectively with the help of the products
of Nura Headphones (Nuraphone.com., 2019).
II. Business model
The major goal of the business model that has been developed by Nura Headphones is
based on the ways by which the experience of customers can be affected by personalised
sound related aspects. The unique features that are a part of the products offered by Nura
Headphones are related to the profiles that are crafted for different types of customers and
their experiences. The main differentiating factor that is related to the ways by which an
organization in comparison to the other companies is based on fulfilling the different needs of
consumers related to music preferences (Aversa et al., 2015).
A. Building blocks
1. Customer segments
The major customer segments that are targeted by the organization mainly include,
music lovers who prefer headphones that are customized based on the personal choices. The
headphones are customized with respect to the capacity of customers’ ears and the levels of
impact that these have on their listening. The customers of the organization are thereby able
to use the headphones based on the impact that they have on the listening activities (Beha,
Göritz & Schildhauer, 2015).

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
2. Key partners
The major partners of Nura Headphones include, the passionate and efficient team of
the music lovers. The technology providers are also considered to be important parts of the
operations that are performed by Nura Headphones in the industry. Passionate scientists,
engineers who are a part of the management team are considered to be major partners of Nura
Headphones (Dorantes-Gonzalez et al., 2015).
3. Value proposition
Nura Headphones has aimed at providing the maximum levels of value to its
customers with the help of immense satisfaction that the products can offer. The tie-ups that
have been developed by the organization are able to play an important role in providing
support to the value proposition of Nura Headphones. The team that has been developed in
Nura Headphones is also based on the value proposition that is developed by the organization
in order to continue its operations (Freiling, 2015).
4. Key activities
The advertising and promotion based activities are considered to be important for the
success of Nura Headphones. The company has also developed many tie-ups with different
organizations that have proved to be helpful for fulfilment of its future plans. The company
uses its resources in order to develop customised services for the customers that are related to
their hearing based activities (Ghezzi et al., 2015).
5. Channels
The presence that has been formed by Nura Headphones on the internet is based on its
website which is considered to be a major channel of distribution. The advertisements that are
formed by the organization for featuring on television and other various media have high
levels of importance for the revenues that have been gained by Nura Headphones. Proper

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
distribution of the products is mainly based on the development of the channels of Nura
Headphones in an efficient manner (Jenkins & Fife, 2016).
6. Revenue streams
The proper sales of the products that have been developed by Nura Headphones is an
important factor that has an impact on its revenue streams. The finances which are provided
to the organization by different banks are also highly important for developing an efficient
cash flow that can provide revenues (Lüdeke-Freund et al., 2017).
7. Cost structure
The payments that are provided to the employees and other members of the
organization are a part of the cost structure of Nura Headphones. The app of the company has
also been developed with respect to high levels of costs. The delivery and shipping based
costs also need to be incurred by the company in order to reach the customers. Nura
Headphones is liable to pay taxes to governments in order to maintain its operations and
revenues (Massa, Tucci & Afuah, 2017).
8. Key resources
The passionate teams that are a part of the organization have an impact on the ways
by which it is able to develop the products based on demands of consumers. The high
technologies that are provided by Nura Headphones in the products are important factors that
have an impact on the effective operations of the organization. The customization of sounds
is considered to be a major resource that plays a major role in the organizational operations
(Naggar, 2015).
9. Customer relationships
Communications have played a major role in the development of proper customer
relationships within the organization. Social media platforms are used by Nura Headphones

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
in order to communicate effectively with the customers. Advertising is considered to be an
important part of the communication that has been formed by the organization and
relationships developed with the customers as well (Oyedele, 2016).
B. Interrelationships
Nine building blocks of the business model canvas of Nura Headphones are linked
with each other with respect to the products that are offered to customers. The activities based
on promotions that are performed by the organization are effective for communication with
the customers and providing the required messages to them. The employees who are a part of
the teams within the organization are able to affect the personalisation of the products (Rana
et al., 2017). The founders of Nura Headphones are dynamic in nature and aim at developing
the products in such a manner that is able to fulfil individual needs of the consumers. The
implementation of different innovative methods is considered to be important for developing
products that provide high levels of sound clarity. The revenue streams which have been
formed by the company are based on effectiveness of the cost structure and website of the
company as well (Jenkins & Fife, 2016).
C. Critical success factors
The founder of Nura Headphones, Luke Campbell has played a key role in formation
of its position in industry. The success that is gained by Nura Headphones and its future plans
of providing competition to the large organizations like Bose is based on the website and
resources that have been gained by the company (Dorantes-Gonzalez et al., 2015). The cost
based structure of Nura Headphones is an important factor that leads to the revenues that are
gained by the organization. Differentiation of the products are based on the customization of
the sounds in order to suit the needs of consumers effectively. The levels of satisfaction of
employees in the work environment is able to play a major role in satisfying the customers.

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
The quality of products is able to attract the music lovers towards the products of Nura
Headphones (Beha, Göritz & Schildhauer, 2015).
D. Downside risks
Training is an important factor for the employees of Nura Headphones in order to
improve services and experiences that are offered to consumers. Levels of adequate training
are significant for proper improvement of the services. The lack of skilled employees is a
major risk that has an impact on the production process developed in the organization. The
training and recruitment based costs have been quite high for Nura Headphones and this has
led to the lack of effective profit margins (Aversa et al., 2015). The risks in this case are
mainly based on the ways by which the profitability levels of the organization will be reduced
and revenue streams will be affected as well.
E. Business model changes
The major changes that can be made in the business model is related to increase in the
channels that are used for communication and distribution purposes. This will be able to
enhance the levels of awareness based on services and products that are offered to consumers.
The growth that has been depicted by music industry is a major opportunity for Nura
Headphone for increasing the awareness levels (Beha, Göritz & Schildhauer, 2015). The
changes made in business model will have an impact on the ways by which the organization
will improve its operations and position in the market.
III. Conclusion
The report can be concluded by stating that Nura Headphones will be able to maintain
its operations in the industry and provide competition to larger organizations with the help of
proper resources and employees. The services that are provided by the employees are

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
considered to be highly important for proper development of the position of Nura
Headphones in the industry.
IV. Recommendations
The recommendations that can be provided to Nura Headphones are as follows,
Development of proper training programs in order to improve the skills of
employees.
Formation of marketing and promotional activities for providing their
messages to the customers and further increasing the levels of awareness
based on products that are offered to them.

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
References
Aversa, P., Haefliger, S., Rossi, A., & Baden-Fuller, C. (2015). From business model to
business modelling: Modularity and manipulation. In Business models and
modelling (pp. 151-185). Emerald Group Publishing Limited.
Beha, F., Göritz, A., & Schildhauer, T. (2015, January). Business model innovation: The role
of different types of visualizations. In ISPIM Conference Proceedings (p. 1). The
International Society for Professional Innovation Management (ISPIM).
Craft.co. (2019). Retrieved from https://craft.co/nura
Dorantes-Gonzalez, D. J., Küçükaydın, H., Özlem, Ş., Bulgan, G., Aydın, U., Son Turan,
S., ... & Teixeira, F. F. (2015). Improved Business Model Representation of
Innovation Concepts. In Proceedings of the 2015 World Conference on Technology,
Innovation and Entrepreneurship, Istanbul, Turkey, May (pp. 28-30).
Freiling, J. (2015). Business model innovation–a concept between organizational renewal and
industry transformation. Journal of Entrepreneurship, Management and
Innovation, 11(1), 3-10.
Ghezzi, A., Cavallaro, A., Rangone, A., & Balocco, R. (2015, April). A Comparative Study
on the Impact of Business Model Design & Lean Startup Approach versus Traditional
Business Plan on Mobile Startups Performance. In ICEIS (3) (pp. 196-203).
Jenkins, J., & Fife, T. (2016). Designing for disruption. Strategic business model
innovation. International perspectives on business innovation and disruption in
design, 75-94.

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
Lüdeke-Freund, F., Freudenreich, B., Schaltegger, S., Saviuc, I., & Stock, M. (2017).
Sustainability-oriented business model assessment—A conceptual foundation.
In Analytics, innovation, and excellence-driven enterprise sustainability (pp. 169-
206). Palgrave Macmillan, New York.
Massa, L., Tucci, C. L., & Afuah, A. (2017). A critical assessment of business model
research. Academy of Management Annals, 11(1), 73-104.
Naggar, R. (2015). The creativity canvas: A business model for knowledge and idea
management. Technology Innovation Management Review, 5(7).
Nuraphone.com. (2019). nuraphone - Music in full colour™ | Personalized sound. Retrieved
from https://www.nuraphone.com/
Oyedele, A. (2016). Emerging market global business model innovation. Journal of Research
in Marketing and Entrepreneurship, 18(1), 53-62.
Rana, P., Short, S. W., Evans, S., & Granados, M. H. (2017). Business models and business
modelling: state of the art. In Value Networks in Manufacturing (pp. 75-93). Springer,
Cham.

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BUSINESS MODEL CANVAS ANALYSIS OF NURA HEADPHONES
Appendices
Appendix 1 – Table 1 – Business model canvas of Nura Headphones
Key Partners
 Efficient
team.
 Technology
providers.
Key Activities
 Promotional
activities.
 Development
of effective
teams.
Value Proposition
 Providing
customer
satisfaction.
Customer
Relationships
 Social
media
communica
tion.
Customer
Segments
 Hard core
music
lovers.
Key Resources
 Availability
of
technologies.
Channels
 Presence on
the web.
 Advertisem
ents.
Cost Structure
 Compensation costs.
 Costs based on development of high end app.
Revenue Streams
 Product sales.
 Financials provided.
Source – Created by Author