What Is a Business

Model?
• The term business model refers to a company's profit
plan.
• It identifies the products or services the business plans
to sell, its identified target market, and any anticipated
expenses.
• Business models are important for both new and
established businesses. They help companies attract
investment, recruit talent, and motivate management
Before we talk about business models, we must
understand Design Thinking. Every successful
business starts with a problem. Design Thinking
helps us deeply understand that problem and
create solutions that people truly need.
DESIGN THINKING

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 WHAT IS DESIGN THINKING ?

• The design thinking process is a problem-

solving methodology used by designers to
approach complex problems and find innovative
solutions.

• In simple terms, Design Thinking is a

methodology that aims to tackle highly complex
problems.
 History of Design
Thinking
1960s – Origin of Design Thinking
The concept started in engineering and architecture to solve complex problems.
Herbert Simon, a Nobel Prize winner, introduced the idea of "problem-solving as
design" in his book The Sciences of the Artificial (1969).

1980s – Design Thinking in Business

Peter Rowe wrote Design Thinking (1987), explaining how designers think and
create solutions.
Companies started using human-centered design for innovation.
1990s – IDEO (Design Firm) & Modern Design Thinking
IDEO, a global design firm, developed a structured 5-step design
thinking process:
Empathize, Define, Ideate, Prototype, Test

2000s – Design Thinking in Education & Startups

Stanford University’s d.school popularized design thinking as a
problem-solving tool.
Tech giants like Apple, Google, and IBM used design thinking for
product innovation.

Today – A Key Business Strategy

Used in business, healthcare, fashion, and social innovation.
 Why Design
Thinking

Use design thinking to create

solutions that truly meet people’s
needs.
There are also some essential aspects in which
design thinking helps, and they are:

• The main objective is to solve the customer’s

requirements
• Helps in tackling unclear and challenging
problems
• Drives people to create innovative solutions
• It helps organisations to run faster with more
efficiency
 Principles of Design
Thinking

1.Empathy:

Understanding the user’s context, emotions, and experiences,

empathy enables managers to connect with customers on a deeper
level, leading to solutions that genuinely address users’ needs.
For Example...
McDonald’s Self-Order Kiosks
Problem: Families and older customers often find it difficult to
order at McDonald's, especially during busy hours. Long lines and
limited menu explanations made the process stressful.
Empathy Approach: McDonald’s conducted research by observing
customers in their stores, asking them how they felt about ordering,
and learning about the frustrations of waiting in long lines.
Solution: McDonald's introduced self-order kiosks that allowed
customers to bypass the line, browse the menu at their own pace,
and customize their orders. This helped families and elderly
customers feel more comfortable, reducing stress and improving
the overall experience.
Outcome: The kiosks increased order accuracy, reduced wait
 2.Collaboration:
Bringing together diverse teams fosters creativity. Design
Thinking thrives on interdisciplinary collaboration, allowing
managers to gain new perspectives and generate
innovative solutions.
Tata Nano Car Development

Problem: The challenge was to create an affordable car for Indian families with a budget of
around ₹1 lakh (approximately $2000).

Collaboration Approach: The Tata Nano team brought together engineers, designers,
marketers, and financial expertsto design a car that was affordable but also met the needs of
the target market.
Engineers worked on creating a cost-effective design using low-cost materials.
Designers ensured the car was compact but still offered comfort and features for families.
Marketers understood the desires and price sensitivity of Indian customers, while financial
experts helped structure the pricing model.

Solution: The collaboration resulted in the Tata Nano, a small, affordable car that became a
symbol of innovation in India.

Outcome: Despite its initial challenges in terms of sales, the collaborative approach helped
Tata innovate for a specific market need, combining cost-effectiveness with innovation in
design.
 3. Experimentation:
Design Thinking values trial and error, allowing ideas to evolve through
prototyping and testing. This iterative process ensures that solutions are
optimised before being deployed
Ola Electric Scooters

Problem: India faced increasing pollution levels, and there was a need for environmentally
friendly and affordable electric vehicles.

Experimentation Approach: Ola Electric started by designing prototypes of electric

scootersand experimenting with different features to improve range, performance, and
affordability.
The company conducted extensive testing on different types of batteries, vehicle weight, and
energy-efficient designs.
They experimented with different battery and charging infrastructure setups to ensure ease of
use and availability across India.

Solution: Ola launched its electric scooters with features like fast-charging technology,
swappable batteries, and sustainability as a core element of the design.

Outcome: Ola Electric's scooters are now a popular option in India, with a growing customer
 1. Empathize: Understanding the User

The Empathy stage is about understanding the people you're designing for. The goal is
to get a deep understanding of their needs, challenges, and emotions by observing,
engaging, and immersing yourself in their experience.

Key Activities:

User Interviews: Talk directly to your target users to understand their pain points and
desires.
Surveys: Ask questions to a broader group of people to collect more data.

Observations: Watch how users interact with a product or service to gain insights into
their behavior.

Shadowing: Follow users as they engage with the product or service to see firsthand
what they experience.
Empathy
Map
 Empathy Map Example:

Says:
"I hate waiting so long for my food."
"I want to try new restaurants but don’t know where to look."
"I want to share my favorite restaurants with my friends."
Thinks:
"I wish food delivery was faster and more reliable."
"I’m not sure if this restaurant will be good, I need reviews."
"I don’t have the time to search for good food every time."
Does:
Checks food reviews before ordering.
Often looks for discounts and deals.
Places orders via food apps, but sometimes has to cancel due to long wait
times.
Feels:
Frustrated when food arrives late.
Happy when finding a new place to order from.
User Journey
Map
 What is a user journey map?

A user journey map is a visual representation of how a user interacts

with a product or service to achieve a specific goal. It outlines key
stages, actions, emotions, and pain points throughout the experience,
helping businesses identify friction points and opportunities for
improvement.
Key components of a user
journey map
1. User Personas and Their Roles (TARGET CUSTOMERS)

• Busy Professional: Needs quick, healthy meals during the workday.

Challenges: Limited time to explore menus.
• Student: Seeks affordable and filling meals, especially late at night.
Challenges: Budget constraints.
• Health-conscious Shopper: Looks for nutritious, dietary-specific food.
Challenges: Limited healthy options in certain areas.
2. Defining User Scenarios and Goals

• Scenario 1: Goal: Busy professional needs a fast and healthy lunch within
a short break.
• Scenario 2: Goal: Student wants an affordable, filling meal delivered
quickly for a late-night study session.
3. Stages and Phases of the User Journey
• Awareness: User learns about the app through social media or
recommendations.
• Consideration: User browses available food options based on
preferences and budget.
• Decision: User selects food, adds it to the cart, and proceeds
to payment.
• Retention: User receives promotions or deals to encourage
repeat usage.
4. Key Touchpoints and Interaction Channels
• Discovery: App store, social media, and word-of-mouth
referrals.
• Action: App interface for browsing, ordering, and payment
processing.
• Feedback: In-app review system for ratings and comments.
5. Actions, Emotions, and Pain Points

Actions: User browses food, adds to cart, and places an order.

Emotions: Excitement during browsing, impatience while waiting for delivery.
Pain Points: Slow app load times, delivery delays, or wrong orders.

6. Identifying Opportunities for Improvement

Opportunity 1: Improve app speed and responsiveness to reduce wait times.

Opportunity 2: Offer more personalized food recommendations based on past
orders.
Opportunity 3: Provide clearer delivery time estimates and track order status
more effectively.
 2. Define: Framing the Problem

Once you've gathered all your insights, you need to define the problem clearly. This stage
helps you focus on the real challenge based on your empathy work. It's important to make
sure the problem is framed from the user's perspective.

Key Activities:

• Synthesize Data: Gather all the data and insights collected in the Empathy stage.

• Create User Personas: Develop fictional characters that represent different user groups.
These personas are built from real data and help humanize the insights.

• Define the Problem Statement: Frame a clear, actionable problem statement that
guides the ideation process. This should answer the question, “What is the problem we are
solving for the user?”
 3. Ideate: Generating Ideas

In this stage, you brainstorm possible solutions to the problem you’ve defined. The
goal is to generate a wide variety of ideas, without worrying about whether they are
feasible or perfect.

Key Activities:

• Brainstorming Sessions: Invite team members to think of as many ideas as

possible without judgment.
• Mind Mapping: Use diagrams to explore connections between ideas and potential
solutions.
• Sketching: Start visualizing the ideas through rough sketches to begin formulating
how they might work.
 4. Prototype: Building a Model

The Prototype stage is all about creating tangible solutions that you can test
with users. These prototypes don’t have to be final products but can be simple
mockups or models.

Key Activities:

• Build Rapid Prototypes: Use low-cost materials or software tools to quickly

create mockups of your ideas.

• Iterate Fast: Prototypes can change quickly, so get user feedback early and
refine the model based on their input.
 5. Test: User Feedback

The final stage involves testing your prototypes with real users to see how
well they meet their needs. Testing helps identify flaws and areas for
improvement.

Key Activities:

• User Testing: Let users interact with the prototype and observe their
reactions.
• Feedback Collection: Ask for detailed feedback from users to
understand what worked and what didn’t.
• Refine: Based on testing feedback, iterate on your solution and re-test
until you find the best fit.
Activity Time: Traditional Crafts for
Modern Audiences
 Human-Centered
Design
Definition

Human-centered design (HCD) is an approach to design that places real

people at the center of problem-solving. At every phase of the design
process, consideration of your customers and their context comes first.
This is a step above user-centered design, which tends to focus on the
way people use things, not their psychological and emotional needs.
 Why is human-centered design
Human-Centered Design (HCD) important?
is important because it focuses on understanding
the users' needs and creating solutions that are easy to use, effective, and meet
their expectations. Here’s why it matters:

1.Better User Experience: Makes products that are easy and enjoyable to use.
2.Higher Adoption: Users are more likely to use products that meet their needs.
3.Fewer Mistakes: Involves users early, helping avoid costly errors.
4.Accessibility: Ensures products are usable by everyone, including people with
disabilities.
5.More Innovation: Helps come up with creative solutions that solve real
problems.
6.Long-term Success: Products designed with users in mind perform better over
time.
In short, HCD helps build products that users love and keep using.
The four principles of Human-Centered Design (HCD) are:

• Be People-Centered: Focus on real users, their needs, and goals, making the product a tool
to help them.

• Find the Right Problem: Address the root cause of the issue, not just the symptoms, to
solve the real problem.

• Think of Everything as a System: Keep the entire user journey in mind to ensure the whole
experience works smoothly.

• Small and Simple Interventions: Start with simple, iterative solutions, prototyping and
testing to improve over time.
What is the human-centered design process? The 6 phases of
HCD

• Observation: Understand users by observing their behaviors, pain points, and feelings
about a product, setting aside assumptions.
• Ideation: Generate as many ideas as possible based on insights, refining them to find the
best solutions.
• Rapid Prototyping: Create a simple, low-fidelity prototype to test the concept with users
and gather feedback.
• User Feedback: Test the prototype with users, gather insights, and identify adjustments
needed.
• Iteration: Use user feedback to improve the design, testing and refining it until it’s
optimized.
• Implementation: Launch the design, but keep iterating and testing to continually improve
the product.
Human-centered design vs. design thinking—what’s the
difference?

• HCD and design thinking are similar, but there are key differences.
• Design thinking focuses on solving problems by empathizing with users,
generating solutions, and quickly implementing them.
• It looks at problems with a broader scope.
• HCD, on the other hand, focuses on enhancing users' lives by deeply
understanding their objectives to create products that truly improve their
experiences.
• Both methods center on empathy and are iterative, evolving with the needs of
users.
Key takeaways

That’s human-centered design in a nutshell. To summarise: human-

centered design (HCD) puts real people at the center of any design
solution. It emerged as an approach to problem-solving, encouraging
designers to cultivate empathy and define the root problem before
seeking solutions.
 Product Market Dynamics: Traditional Crafts as a Solution to a
Problem Worth Solving

Introduction

• Product market dynamics play a crucial role in the success of any

business, especially in traditional crafts.
• To develop a sustainable and profitable business in this area, a product
must be positioned as a solution to a problem worth solving.
• This approach ensures that traditional crafts are not just seen as
aesthetic or luxury items but as meaningful, functional, and necessary
products in today's market.
Understanding Product Market Dynamics

Definition:
Product market dynamics is the interaction between products and the market,
focusing on customer needs, competition, and demand.

Key Concepts:

Customer Needs & Preferences

Competitive Landscape
Price Sensitivity
 Traditional Crafts as a Business Product

Examples of Traditional Crafts:

• Handwoven textiles, Pottery, Embroidery, Wooden

sculptures

Problem Solved:

• Preservation of culture
• Unique and authentic products
• Sustainable production practices
 Applying Product Market Dynamics to Traditional Crafts

Identify Market Need:

• Cultural significance
• Sustainability and eco-friendly appeal

Create a Unique Value Proposition:

• Emphasize quality, authenticity, and customizability

Conduct Market Research:

• Understand your target audience (collectors, eco-conscious consumers,
etc.)
 Building a Business Around Traditional
Crafts

• Step 1: Craft a Business Plan

⚬ Vision, goals, funding, marketing strategy

• Step 2: Create a Brand Identity

⚬ Focus on storytelling, artisan connection

• Step 3: Develop Distribution Channels

⚬ E-commerce, craft fairs, designer
collaborations
Key Challenges & Solutions

1.Lack of Awareness
⚬ Solution: Awareness campaigns, education on cultural
value
2.Scaling Production
⚬ Solution: Partner with skilled artisans in small batches
3.Marketing & Positioning
⚬ Solution: Use social media and influencer collaborations
Thank
You