Impact of the Implementation of Business Model Canvas (BMC) on

Improving Student Entrepreneurship Learning Outcomes

Saidun Hutasuhut

, Irwansyah

, Agus Rahmadsyah

, M. Fachry Nasution

and Reza Aditia

Faculty of Economics, Universitas Negeri Medan, Medan –Indonesia

Postgraduate Student, Universitas Negeri Medan, Medan -Indonesia

Keywords: Entrepreneurship Learning, BMC, Learning Outcomes

Abstract: Student entrepreneurial intentions in Indonesia are still low and need to be improved. One of the many way

to do this is to organize entrepreneurship education. However, what kind of entrepreneurship education

model that is considered useful still needs to be developed.This study tries to teach entrepreneurship by

implementing Business Model Canvas (BMC) because it is believed to be able to increase knowledgethat

will have an impact on increasing student entrepreneurial intention. The method used in this study is a

quasi-experiment involving two classes of entrepreneurship courses at the Universitas Negeri Medan

Economics Faculty.One class as an experimental class (BMC) and the other one as a control class.

Hypothesis testing is done by the "t" test. The results of the study showed that BMC could be implemented

well and received a very good response from students. The learning outcomes of the BMC application class

proved to be significantly different from the learning outcomes in the control class. The learning outcomes

of the BMC class are higher than the control class.

1 INTRODUCTION

The number of civil servants applicants for 2018 is

4,081,203 while the available formations are only

238,015 (Kompas.com, 11 November 2018). This

condition illustrates how high the public interest is

to become civil servants. This situation illustrates

that entrepreneurial intentions are still low. The

orientation of the community is still more likely to

find work than to create their own jobs. Students as

one component in it should more rational and critical

to get civil servants formation that limited.

Knowledge, insight and critical power possessed by

students should be more oriented towards

developing their own business rather than fighting

for very limited job vacancies. This phenomenon is

the impact of the low intention of student

entrepreneurship as explained by Indarti & Rostiani

(2008). Student entrepreneurial intentions in

Indonesia are still weak.Then when viewed in

August 2015, 11.97% of unemployed people in

Indonesia were college alumni. Furthermore,

research by Hutasuhut (2016) also supports that only

25.53% of students are ready for entrepreneurship

even after receiving additional education..

Entrepreneurship education is increasingly

calculated to improve the economy of a country.

According to Sirelkhatim & Gangi (2015)

entrepreneurship education is one of the fastest

growing education fields globally. In Indonesia,

entrepreneurship education has been taught at the

education level from high school to college.

Entrepreneurship education is expected to contribute

to improving the culture of an entrepreneurial

society. The extent to which entrepreneurial

education affects students is still a matter of debate

in various circles (Fiet, 2000). The debate is related

to the accuracy and effectiveness of

entrepreneurship teaching methods (Westhead,

Storey, & Martin, 2010); (Westhead et al., 2010).

According to (Jack & Anderson, 1999) teaching

entrepreneurship education aims to integrate science

(business and management competencies) and art

(eg, creative and innovative thinking).

Entrepreneurship learning, in an academic context

especially at universities, is based on theoretical

aspects and practical knowledge (Heinonen &

Poikkijoki, 2003). Research results by Allan A.

Gobb (2015) show that in developing

entrepreneurial behavior we need a process that

includes the identification of traits related to

Hutasuhut, S., Irwansyah, ., Rahmadsyah, A., Nasution, M. and Aditia, R.

Impact of the Implementation of Business Model Canvas (BMC) on Improving Student Entrepreneurship Learning Outcomes.

DOI: 10.5220/0009492000430048

In Proceedings of the 1st Unimed International Conference on Economics Education and Social Science (UNICEES 2018), pages 43-48

ISBN: 978-989-758-432-9

entrepreneurship, both in the form of skills and

attributes inherent in entrepreneurship.

According to P. Kyrp, (2003) entrepreneurship

education must be directed at learning activities that

can improve understanding, knowledge about

business and entrepreneurship for people who want

to become entrepreneurs. The level of knowledge

that students have on entrepreneurship readiness

influences their desire for entrepreneurship. For this

reason, entrepreneurship education on campus must

be designed for learning activities that can

internalize entrepreneurial character values.

However, entrepreneurial learning has so far been

minimal in variety and not many use models that

lead to the formation of values (affection).

Entrepreneurship learning models at the vocational

school level are generally lectures, product selling

assignments, and observations (Winarno, 2009). As

a result, the effectiveness of learning still needs to be

questioned in developing entrepreneurial attitudes

and character. Research results by Rahayu Wening

Patmi (2008) strengthen the condition that

entrepreneurial learning has no significant effect on

entrepreneurial attitudes. Furthermore, Priyanto,

(2010) states that entrepreneurship learning has not

significantly produced entrepreneurs, and the

products that are generated from entrepreneurship

education are "craftsmen" and thinkers only ".

In this study, entrepreneurship education was

taught by applying the Business Model Canvas

(BMC) introduced by Alexander Osterwalder. BMC

is a way to make a business plan by documenting it

in 1 page with nine business area blocks. The

goodness of this model can be used for all types and

business models, accelerating to know the strengths

and weaknesses of the business, the process of

analyzing needs and profits is done quickly. Then,

according to Türko, (2016) the use of BMC allows

companies to increase revenue and profits. The

application of BMC in entrepreneurship learning

aims to improve knowledge or learning outcomes.

2 THEORICAL FRAMEWORK

According to Raposo & Paço, (2011)

entrepreneurship since the last three decades has

emerged as an economic power in the world.This

encourages the importance of research on

entrepreneurship education. Entrepreneurship

education is increasingly important because

according to Raposo & Paço, (2011)

entrepreneurship education provides knowledge in

the form of; (a) the ability to recognize

opportunities, (b) the ability to take advantage of

opportunities, generate new ideas and find the

resources needed, (c) the ability to make and operate

new devices, and (d) the ability to think creatively

and critically. In addition to knowledge and skills in

business, entrepreneurship education also mainly

develops beliefs, values, and attitudes, and aims to

make students confident and consider

entrepreneurship as an alternative to employment or

as unemployed (Jose Shanchez, 2011).

Entrepreneurship education is essential to help

increase entrepreneurial intentions (Nowiński,

Haddoud, Lančarič, Egerová, & Czeglédi, 2017).

Their findings explain the importance of

entrepreneurship education given to students

because it provides knowledge and can change one's

mindset. According to Robles & Zárraga(2015)

Entrepreneurship education can influence the

attitudes and aspirations of young people towards

entrepreneurship. The level of knowledge (learning

achievement) possessed will have an impact on

entrepreneurial intentions as explained by Dogan &

Ebru (2015) that there is a significant positive

correlation between student achievement in the

classroom and entrepreneurial intentions.

Furthermore, according to Ismail et al., (2009)

states that entrepreneurship course, Tessema Gerba

D (2012); Premand, Brodmann, Almeida, Grun, &

Mahdi Barouni, (2016) entrepreneurial education

influence entrepreneurial intentions.According to

Dehghanpour (2015) added that by completing an

entrepreneurship course it could increase

entrepreneurial intentions by 1.3 times. Then,

according to Martin et al (2013) found a significant

relationship between Entrepreneurship and Training

Education (EET) with the formation of human

capital assets related to entrepreneurship.

Furthermore, Nursito et al.,(2013)states that

entrepreneurship education will shape students'

entrepreneurial knowledge and have a positive and

significant effect on entrepreneurial intentions. So

Barba-Sánchez & Atienza-Sahuquillo, (2017)

suggest integrating entrepreneurship education into

technical education to increase entrepreneurial

intentions. Priority for entrepreneurship education to

develop entrepreneurial attitudes, skills and

entrepreneurial behavior (Dogan & Ebru, 2015).

Business Model Canvas (BMC) Learning

One document that must be prepared before running

a business is making the right business plan.

Alexander Osterwalder introduced a business model,

Business Model Canvas (BMC). BMC is an abstract

concept design of a business model that represents

business strategies and processes (Pigneur, 2010).

BMC is a draft concept of how to make a business

plan by documenting it in 1 page with nine business

area blocks. The BMC model in learning

UNICEES 2018 - Unimed International Conference on Economics Education and Social Science

entrepreneurship is considered relevant for making a

business plan.

Figure 1: Business Model Campas (Foundry, B.

M.,2014).

The BMC model can overcome student

difficulties in making a feasible business plan and at

the same time be able to know the strengths and

weaknesses of the business, the process of needs

analysis and rapid profit analysis. Those nine blocks

are consists of: (1).Customers Segment, (2) Value

Proposition, (3.Customer Relationship, (4) Channel,

(5) Revenue Stream, (6) Key Resource, (7) Key

Activities, (8) Key Partnership, (9) Cost Structure.

For more detail can see figure 1.

3 RESEARCH METHOD

This study uses an experimental method, carried out

at the Economics Faculty, Universitas Negeri

Medan. The study population was all

entrepreneurship classes at the Economics Faculty,

Universitas Negeri Medan in the odd semester 2018.

The sample class was determined by two classes.

One class as BMC treatment (experimental class)

and one other class as the control class and

determined by purposive random sampling.

Indicator of BMC Quality

To assess the quality of learning with Business

Model Canvas (BMC) curriculum quality criteria

were proposed by Nieveen (1999), namely (a)

validity, (b) practicality, and (c) effectiveness. The

way to test the learning model is presented in Table

Table 1: BMC Quality Testing

Assested

ect

Instrume

Assess

Assested

Material

Crit

eria

Students

respond

Observati

on sheet

Studen

devices

and

implemen

tation of

BMC

Practical

ly of

model

Observati

on sheet7

Expert Implemen

tation

Effective

ness of

model

Test Resear

subject

Learning

outcomes

Data Analysis Technique

To find out whether the BMC model is useful for

improving learning outcomes is carried out by the

"t" test. To facilitate the calculation of the data used

SPSS assistance.

Result and Analysis

The reaction principle of the applied BMC model

first looks at student responses to the design and

implementation of BMC, and the results are

presented in Table 2.

Table 2: Student responses to BMC Learning Tools

and Implementation

Aspect Respond

Satisfied Unsatisfied

Respondents' feelings

about the component

Subject matter 100 0,00

Applied BMC model 100 0,00

Students’ work sheet

(

usiness plan)

100 0,00

Learning atmosphere 100 0,00

Lecturer appearance 100 0,00

The way lecturers

teach

100 0,00

Average (%) 100 0,00

New Not new

The respondents

opinion to the

com

onent

Subject matter 83 17

BMC Model 97 13

Learning atmosphere 79 21

Lecturer appearance 79 21

The way lecturers

teach

86 14

Average (%) 85 15

Clear Unclear

Respondent's opinion

about the language

used in:

BMC Worksheet 100 0,00

Test 93 7

Impact of the Implementation of Business Model Canvas (BMC) on Improving Student Entrepreneurship Learning Outcomes

Average (%) 96,55 3,50

Interesting Not

interestin

Respondents' opinions

about the intent of each

question/problem

resented in:

BMC Worksheet 100 0,00

Test 86 14,00

Average (%) 93 7,00

Interesting Not

interestin

Respondents' opinions

about appearance

(writing, tables/pictures

and location of

tables/images)

contained in:

BMC Worksheet 93 7

Test 86 14

Average (%) 89,50 10,50

Student responses to the application of BMC

viewed from each aspect turned out to be 100%

happy, 85% said new, 96.55% said the language

used was clear, and 93% understood. Furthermore,

89.5% of students asked for the application of the

BMC model to be interesting, and only 10.50%

stated that it was less attractive.

The results are given by the observer on all aspects

of the observation starting from the preliminary

stage, the core activity, closing, managing the time

and atmosphere of the class are on an average score

greater than 4 in the excellent category. This

explains that the application of BMC can be

implemented well and is feasible to apply to teach

entrepreneurship courses.

To find out whether the data are normally

distributed, the normality test results are obtained,

and it is obtained that the learning outcome data

meets the conditions under which Asymp. Sig. (2-

tailed) 0.200> of 0.05 as described in Table 3.

Furthermore, the homogeneity test results by looking

at the significance value of 0.619 > 0.05 means that

the two groups of learning outcomes of the

experimental class and the control class are

homogeneous.

Table 3: Normality test

One-Sample Kolmogorov-Smirnov Test

Learnin

outcom

ormal Parameters

a,b

Mean 66,

5194

Std.

Deviation

10,

12468

Most Extreme Differences Absolute ,08

Positive ,07

egative -

,086

Test Statistic ,08

Asymp. Sig. (2-tailed) ,20

c,d

a. Test distribution is Normal.

. Calculated from data.

c. Lilliefors Si

nificance Correction.

d. This is a lower bound of the true

nificance.

Table 4: Test of Homogeneity of Variances

Learnin

outcomes

Levene

Statistic df1 df2

Sig

,249 1 62 ,61

Table 5: Group Statistics

Class

Mean

Std.

Deviation

Std.

Error

Mean

Learnin

outcome

BMC 33 70,3710 9,68869 1,686

Control 31 62,4194 9,02505 1,620

Table 6: Hypothesis testing

Based on Table 6 it is known that the application of

entrepreneurial learning with Business Model

Canvas (BMC) proved to be significantly different

UNICEES 2018 - Unimed International Conference on Economics Education and Social Science

from learning outcomes with the control class.

Learning outcomes seen from the mean class of

BMC are higher than the mean of control classes.

The findings of this study are in line with research

by Raposo & Paco (2011) which states

entrepreneurship education provides knowledge

about recognizing opportunities, utilizing

opportunities, creating and operating new devices

and the ability to think creatively and critically.

Furthermore, Robles & Zagara (2015) added that

entrepreneurship education can influence the

attitudes and aspirations of young people towards

entrepreneurship. Then, Raposo & Paco (2011)

states the same thing that entrepreneurship

Education can increase knowledge, improve skills,

competencies, and attitudes that can determine

future career choices. Furthermore, they suggest

entrepreneurship education and training should be

more concerned with changing attitudes than

knowledge because the effect can be more

significant in business creation and the ability to

overcome obstacles in entrepreneurship. Nursito &

Nugroho (2013) also stated that entrepreneurship

education shapes students' entrepreneurial

knowledge and positively and significantly

influences entrepreneurial intentions.

Sirelkhatim & Gangi (2015)mapped the content and

methods of teaching entrepreneurship education in

three themes; first, providing theoretical content

about entrepreneurship and teacher-centered

teaching methods with the aim of increasing

students' awareness of entrepreneurship as a career

choice, the second and third themes of teaching

through the practice of entrepreneurship which aims

to inherit entrepreneurship and learn more student-

centered, and designed to build entrepreneurial

skills. This will create an environment where

students can emulate real business situations or

really allow them to start or contribute to the

business creation.

4 CONCLUSIONS

Entrepreneurship learning with BMC can run well in

class and get an excellent response from students.

Classes taught with BMC proved higher learning

outcomes than the control class. Entrepreneurship

learning needs to be taught with models that

encourage the internalization of the entrepreneurial

character. One model that can be used is Business

Model Canvas.

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