Study Guide > MANUFACTURING OF CEMENT BRICKS AND PAVING BLOCKS BUSINESS MODEL CANVAS

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MANUFACTURING OF CEMENT BRICKS AND PAVING BLOCKS BUSINESS MODEL CANVAS 1.          

Key Partners: Construction companies Financial institution such as NMB Bank Plc Government (For regulators such as Land, license, environmental departments) Spare parts suppliers for repair and maintenance of block machines Supplier of sand from truck drivers Supplier of cement from the factory or wholesalers Water supplier agency Electricity supplier agency Insurance companies Local Builders

2. Key Activities    

Manufacturing of cement bricks and paving blocks Selling of cement bricks and pavements blocks Seeking trucks with small cost of transportation of bricks and paving blocks to client sites.

Making advertisement to local peoples through media like radio, newspaper, magazine and brochures, billboards. We using our labour to supply banners or wraps and also we advertising through social media such as whatsapp, Instagram, facebook and through our email aswellas website.

3. Key resources   

Financial resources Personal savings and Loan from NMB Bank Human Resources Skilled and non-skilled labour Natural Resources Sand cement Water Electricity

4. Value Proposition  Affordable construction materials (cheap price of our products compared to our competitors)

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     

Durable with enough strength Easy to build To ensure that their trust is safe for us Solving the problem that building the house is expensive by providing reasonable/inexpensive price of our bricks The bricks will be derived to their house with fair transportation charges compared to other competitors doing same business We are satisfying the customer need for efficiency, inexpensive, and durable materials for the building of their houses.

5. Distribution Channel:  We have several channels where we can connect to our clients;  Through our email account where client may put their suggestions, recommendations and suggestions.  They can also email us their orders  We also have a website where they can also put their suggestions, recommendations, comments and orders.

6. Customer Segments  We create value from consumers who wants to build inexpensive and durable homes  Serves the industrial by creating cement bricks and paving blocks 7. Customer Relationships  The consumer’s trust and a strong bond can be entrusted to our company and its product  The bond of customer and our company will be established by providing efficient and effective product.  The customer’s trust will be the team power for success  Our bricks will be very cheap than normal bricks by selling Tshs. 1,000 per brick insteady of Tshs. 1,200/= and paving blocks Tshs.500/= insteady of Tshs.600/=.

8. Cost structure:  The cost incurred in our business is the acquiring of materials and the distribution of advertisement we bought land that cost Tshs.20 Million,Cement cost Tshs. 20,000 per bag and sand suppliers cost Tshs. 100,000/= per truck, Electricity usage cost Tshs.

200,000/=per month,water usage cost Tshs.150,000/= per month, Labour cost Tshs.200 per brick plus arrangement of a brick . Also advertisements will cost Tshs. 150,000/= per month.

9. Revenue Stream:  The customers are willing to pay for about Tshs. 1200/= per brick and Tshs.600/= per paving block. The customers are currently paying Tshs. 1,000/= per brick and Tshs.500/= per paving block. This means that the customers will be buying bricks to us more

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efficiently than other manufacturer of brick. They will prefer our price because we are selling at lower price than the price they are willing to pay. This means that the revenue stream would contribute to overall revenue.

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