Business analysis glossary
MVP (Minimum Viable Product)
What it is
A minimum viable product is the smallest version of a product that delivers real value to users and lets the team learn from real use. It is not a rough prototype; it works, but it does only the essentials. Teams decide what is essential, release it and observe real behaviour, then use evidence rather than opinion to decide what to add.
Why it matters
Building small first reduces the risk of spending months on something nobody wants. Early feedback guides what to build next. For analysts, defining an MVP means asking which few requirements give users a real reason to switch, and which can safely wait.
Example
Cedar Credit Union's first release of its loan app lets customers apply and track status only. Documents, chat and calculators wait until real users show which of these they actually need. The team learns from actual usage, such as how many users start an application and where they stop, before investing in more features.