Vision and the Next Center City


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Each era in history, the world had/has a "Center City" where talented people gathered from all over the world. Lots of valuable things for human beings were always created from the Center City. Genova, Antwerp, Amsterdam, ..., Paris, London, New York, Boston, and now, It is Silicon Valley.
The question is where is next...

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Vision and the Next Center City

  1. 1. A part of the Next Center City Vision & the Next Center City TAKA KONDO Founder&CEO (Last update: June/08/2011 Created: May/02/2011)
  2. 2. Contents Prologue Next Center City My Vision Appendix  Case Study I~III
  3. 3. 1. Prologue
  4. 4. Global Shift: MarketShare of Global Cell-Phone Market  USA market  50% (1998)  12% (2015)  Asia market  19% (1998)  50% (2015) (*Softbank)
  5. 5. Share of Global GDP  USA  31%(2000)  18%(2015) (*IMF)  BRICS  8%(2000)  23%(2015)  31%(2020) (*BRICS Summit) **BRICS:Brazil, Russia, India, China, South Africa
  6. 6. E7 will beyond G7 in 2020 in terms of GDP. (*PricewaterhouseCoopers) *E7: China, India, Brazil, Mexico, Russia, Indonesia and Turkey *G7: USA, Japan, UK, France, Germany, Canada, Italy
  7. 7. President Obama promised to double US exports within five years in 2010.Even in Japan, expanding business overseas became one of the highest priority issues. * USAs export dependency is the lowest in the developed nations and Japan’s is second.
  8. 8. Increasing exports is already very high priority issue not only in US or Japan but also in many nations.
  9. 9. Global Shift: TalentsChina will be the largest producer of scientific knowledge by 2020. (*Financial Times)
  10. 10. Adobe acquired a Romanian company because of its technological advantage.
  11. 11. Intel Research has hired local researchers in India, Ireland, Belgium, France, Mexico, Germany, UK, Spain, China, Russia and Poland.
  12. 12. I know a Silicon Valley high-tech company which has R&D facility in Serbia and enjoys its excellent performance.
  13. 13. Can we take advantage?These shifts can bring lots of new opportunities for many people/companies.However, to take advantage of such global shifts is not so easy because…
  14. 14. "Who our potential customers are?", "What they want?", "Whats potential needs?", "What life style in your place?","Recent trend?", "Recent change?", "Business process?", "Bottleneck?", "Uniqueness?", "Ineffectiveness?", "Where doyou use it?", "When?", "Why they dont use it?", "How to use it?", "How to get it?", "What kind of advantage ourcompetitor has in your place?", "Whats the disadvantage of competitor product?", ”Are they our competitor?","Competitors brand recognition in your place?", "How did our competitor gained their market share?", "Why they havesuch good brand image in your place?", "Why customers prefer our competitors product?", "What kind of barriers existto enter this market?", "How to eliminate the barrier?", "How is our brand image in your place?", "Who is our potentialpartner?", "Where is our potential partner?", "Credibility?", "How to use this product?, usage scenario, usage scene?","Market positioning?", "User experiences?", "Effectiveness and Ineffectiveness?", "competitors product,workablereplacement?", "Product spec, definition?", "Supply chain, product linkage?", "Missing function, over spec, meaninglessfunction?", "Installing problem?", "Setting problem?", ”alternatives work?", "Upgrade related issues?", "Connectivity?","Design?", "Size, weight, etc?", "Legal, regulation issues?", "Health related issues?", “Cultural taboos?”, "Production?","QA related issues?", "Customer support, CRM?", "Product life cycle management?", "New market for existingproducts?", "New products for existing market?", "Logistics, storage strategy, tactics?", "Tax, Duty?", "Clearance?", to obtain knowledge and experiences in"Local rule?", "Branch office setup?", "Facility related issues?", "Partnership development?", "M&A?", "Local businesslaunching strategy, tactics?", "Market recognition?", "Promotion agent?", "Promotion strategy, tactics?", "Branding?", overseas is not so easy, so far."Alliance partner?", "Average living cost, expense structure?", "Life style, business system, payment style?", "Paymentprogram?", "pricing?", "pricing example of similar products?", "tax, tax wavier?", "Customers problem?", "Potentialproblem?", "existing problem?", "New solution ideas?", “How to avoid it?”, "Recent change or trend of society?", "Whatdoes the new law/regulation change social system?", "Different market, different life style, different business process?","potential problem, opportunity?", "social needs?", "Focus group like study?", "New trend, emergent problem?", "Newinfrastructure?", "Different field?", "Foreign government new policy?", "Technology initiative?", "New national project?","Who is the key person in academia?", "Potential needs in different field?", "Questions about new research results?","Detail feature of emerging technology/products?", "Specifications of a particular product such as Interface, electricproperty, operating environment, customization, etc?", "Rapid prototyping?", "Advice, second opinion?", “Local influentialpersons?”, “Quality-Cost balance?”, "certification approval process, cost, collaborators, etc?", "Who is potentialcollaborator?", “How to hire him?”, "Ask potential users about features of a particular product, functionality, installation,maintenance cost, durability, customer support, etc?", "Intercultural adjustment?", "Pricing, customers expense model,payment?", "Distribution?", "Customer support?", "Supply chain management?", "branch office, facility?", "Manufacturingpartner?", "Quality Assurance management, process?", "Cost management, control?", "foundry negotiation strategy?","Intellectual property purchasing, selling, conflict, alliance, etc?", "Green tech, sustainable?", "Hiring local manager?","Corporate development, investment, restructuring?", "Due diligence?", "Local HRM?”, "GHRM?", "Employment law?","Personnel affairs related problem?", "Public Relations?", "Investor Relations?", "Financing?", "Accounting?", …
  15. 15. A Gap of knowledge exists.But, ‘Gap’ often indicates Opportunities.
  16. 16. 2. Next Center City
  17. 17. Needless to say, good works, good deals and/or good innovations require good network of contacts.
  18. 18.  Each era in history, the world had/has a "Center City" where talented people gathered from all over the world(*).Lots of valuable things for human beings were always created from the Center City. (*) Jacques Attali, “A Brief History of the Future”
  19. 19.  Genova, Antwerp, Amsterdam, …, Paris, London, New York, Boston, and now, it is Silicon Valley.
  20. 20. When we set out to create a community oftechnical scholars in Silicon Valley, therewasnt much here and the rest of the worldlooked awfully big.Now a lot of the rest of the world is here. Frederick Terman, ~ the Father of Silicon Valley ~
  21. 21. The Center City always movesfrom East to West. –Jacques Attali
  22. 22. But I dont think that the Next Center City will be beyond the Pacific Ocean. I also dont think it will move back to East.
  23. 23.  Im confident that the Next Center City will be on the web, on the Internet.
  24. 24. 3. My Vision
  25. 25. My vision is to create a part of the Next Center City.
  26. 26. In the City, people obtain variety of knowledge, draw inspirations and create concrete ideas which lead them to start new projects or resolve new problems.
  27. 27. Its more practical place than social place. Its NOT just networking site or discussion site about non-business topics.
  28. 28. It is the place where people get valuable insights/inspirations and create actionable ideas, and sometimes, obtain partners.
  29. 29. To realize this vision, we design and provide a new knowledge distribution service, or new Knowledge Ecosystem. * Information Ecosystem: Mike Brzozowski,
  30. 30. There are two types of citizens:  Producers  People who have knowledge/experience  Consumers  People who want to use the knowledge/experience InteractionProducers Consumers
  31. 31. In general, there are some potential barriers which prevent interactions between producers and consumers. InteractionProducers Consumers Barriers
  32. 32. So, what we do is to set up ladder against the barriers and make this Knowledge Ecosystem keep working. Motivation / Benefit / Reward Assistance InteractionProducers Consumers Barriers
  33. 33. Basically, our Service/Ecosystem is Business-to-Business, and:  Cross-Border  Cross-Culture  Cross-Language
  34. 34. Communication Style:  Time differences  Our users are living in different time zone.  Different nations  English is not a first language for many users.
  35. 35. We provide a unique communication style to overcome the matters.It’s simple, quick and effective communication style.
  36. 36.
  37. 37. That’s all I can disclose here.
  38. 38.  I’m now looking for collaborators who approve this vision. If you are interested in this vision, please contact through LinkedIn’s Inbox. Comments and/or suggestions are also welcome.
  39. 39. for knowledge consumers for knowledge producersThank You! TAKA KONDO
  40. 40. Appendix
  41. 41. Case Study I ~ felt-tip ~
  42. 42.  A Japanese company(let’s call it “Acorp”) is in the process of trying to rescue its business. The company’s product is the tip of felt-tip pen(highlighter). I couldn’t find any reason why it should be produced in Japan. Actually, Chinese companies are increasing their share in this market. a tip of felt pen
  43. 43.  The quality of Acorp’s products are excellent, but obviously too much for felt pen. Acorp is beaten because of its costly manufacturing process. Their share in felt-tip pen market has been shrinking. So, the reconstruction team started to explore new business opportunities. ?
  44. 44.  Finally, they found it in the United States. The customer is not a felt-tip pen company, it is a cosmetic company. Acorp’s “felt-tip” was the only product which met the requirement of the cosmetic company. Cosmetic item
  45. 45. Case Study II~ Partial Slimming Diet ~
  46. 46.  Another Japanese company, let’s call it Bcorp, invented a very innovative device which enables partial slimming diet. The technology was medicinally proven by a lot of medical schools’ research. And the company successfully launched the business in both Japan and France. Actually, several ten thousands devices were sold despite its very expensive pricing.
  47. 47.  Next, Bcorp tried to extend their business into USA. They had a good network in the French market, but they didn’t have it in the USA. So, the company asked a “Shosha”, a peculiarly Japanese business firm. In general, “Shosha” is a huge enterprise and they have branch offices across the world. In Japan, many foreign products are imported via “Shoshas”. As long as import products from outside Japan, they are very capable.
  48. 48.  However, the strength of “Shoshas” is on import, not on export from Japan(*). They didn’t have a network for neither fitness nor beauty market in the USA. What the Shosa could do for Bcorp was just a simple and small survey such as FDA condition and so on. Bcorp got stuck, finally. (*) Except national projects such as ODA(Official Development Assistance).
  49. 49. Case Study III~ the Birth of Sushi Market ~
  50. 50.  California Roll was invented by a sushi chef in Los Angels, in 1970s. Because many Americans couldn’t eat raw-fish, the chef substituted avocado for tuna. He believed that the oily texture of avocado was a California Roll, “inside-out” Photo by: John Patrick Robichaud perfect substitute for tuna. In addition, he also invented new sushi roll style called “inside-out” because Americans didn’t like to seeing and chewing the nori(*) on the outside of the roll. Traditional Tuna Roll(*) Dried laver seaweed Photo by: Tobosha
  51. 51.  California Roll became popular all across the United States by the 1980s. Then a variety of sushi rolls were created by many sushi chefs. Through the process, many Americans were becoming used to eat law-fish and gradually getting interested in authentic sushi. (*) References:
  52. 52.  Behind today’s worldwide sushi boom, California Roll’s contribution was really significant. It must be one of the most significant innovation in the world sushi history. ~ About 48,000 Japanese restaurants exist outside Japan. These days, Korean and Thai restaurants also have Sushi menu. (Washington Post, Nov/11/’06)