Blue innovation


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Blue innovation

  1. 1. What is Blue Innovation? Our interpretation is: Blue≒ Blue ocean strategy = Creating unknown market space We propose brand-new ideas for innovation
  2. 2. What is Blue Innovation? 1. Create the products and services from scratch in order to satisfy the specific needs in developing country 2. Products and services introduced to other markets which includes developed countries Reverse Innovation: Create Far from Home, Win Everywhere, Indra K. Nooyi
  3. 3. Economic ladder of Brazil in 2002 1R$= 0.427 US$ Income of Hose hold(R$; Month) Class Number (Million) Number of Hose hold (Million) Number per house hold 10,000〜 A 7.3 (4%) 2.5 2.9 4,000 〜 10,000 B 21.6 (12%) 5.4 4.0 800 〜 4,000 C 48.9 (28%) 12.6 4.0 400 ~ 800 D 44.2 (25%) 9.4 4.7 0 ~400 E 54.3 (31%) 7.6 7.1 ※Population of Brazil =176 Million (2002) 198.7 Million (2012) □・・・Bottom of Pyramid(BOP) 84% BOP’s buying power is 41% of Total expenditure of Brazil Marketing Strategy for BOP is important in Brazil retail market
  4. 4. Large market share in Brazil Red Ocean Retailers in Brazil market Brazilian retailers Ponto Frio Mavelus Global Retailers Lohas Saem 1990 シアーズ 撤退 2013 ウォルマート 50店舗閉鎖 Blue Ocean Retail business using installment plan Casas is top share retailer (15%~20%)
  5. 5. retail business using installment plan ・ 1) Examination by Credit research organization 2) assessment system(Income, Occupation, assumed expenditure) NG OK 3) Examination by Casas’s Credit Analyst OK 4) installment plan of a small amount ・ payment term is 1〜15month ・ monthly repayment at store ・ 90% of total sales number by this installment plan
  6. 6. • Casas Bahia found out that their typical customers have no consistent income. • People belong in the bottom of the pyramid are obviously neglected by business. • However people having low income make Casas Bahia become the largest retail chain in brazil. • Because Casas Bahia helps them to buy necessities through financing they pay this product by installment plan. • As a result when Casas Bahia helps these people to buy their necessities by financing their customers and then Casas Bahia become a very successful business.
  7. 7. Government supports Strong mindset ManagementBusiness of NPO Often not enough Social needs
  8. 8. Founder: Masahisa Kogure (Prior to President, worked for McKinsey “Asian Social Entrepreneur of the Year” (2011) Named One of the 48 “Heroes Of Philanthropy” by Forbes iPhone Wins Multiple Awards “Good Design Award” and “広 告電通賞”
  9. 9. How it works… “Addressing obesity” Eat a healthy TFT meal to help yourself and another less fortunate “Tackling hunger” Your US$0.25 donation from the TFT meal will be used to provide one school meal to a child in East Africa, Southeast Asia, and your local community
  10. 10. Core competency is… Partners Partnership Professional Supporters Ambassadors Advisors Founders Professor at Keio Country manger for Twitter Member of the House of Councilors SEO at Uniqlo Director at Goldman Sachs Mikuni Group Member of the House of Representatives
  11. 11. What’s so special is “No business model, No sustainable NPO”, which is highly depending on government supports • Anyone can participate - Everyone eats lunch - Allows you to think and eat well while doing good for society • Win-Win - One does good for oneself and for another less fortunate • Easy to implement - CSR appeal without cost for participating companies
  12. 12. * New innovation structure of Japanese government
  13. 13. Three characteristic trend to 2025: • Decrease population and rapidly aging society • Progress of local society, information society and globalization • Increasing issues which jeopardize sustainability of earth 2025 future Japan: Healthy, Safety, Diversity, Contribute to the world, Open to the world Realize the ideal future by innovation Source: Home page of Cabinet office:
  14. 14. Role of Government METI • Clear the goal • Set only for and appropriate time schedule • Approach target date domestic problems and issues • Maintenance and prepare law and legal system • Many •developed countries have almost same problems Standardization • Evaluation • Subsidize Red Ocean Cooperative Project among Industry Government and Academia Local Innovation Establish Free access Japanese Company Foreign Company Local Government Cluster for Innovation Establish Free access University Industry Group Research Institute NPO
  15. 15. Government of Foreign Country Human Resource Subsidy Ask support Japanese Government Offer support Tax reduction Specific Problem in Foreign Country Human Resource Subsidy Solve Employment Economic Growth Companies Academic Institutes Special Team NPO Human Resource Technology Experience Knowledge Global human resource New Technology Global Experience Specific needs Partnership
  16. 16.  Japanese government: • • • • Achieves economic growth and job creation Get the trust from other countries Enhance the presence in international world Reduce the ODA expenditure  Companies, academic institute and NPO • • • • • Get financial support form government Get international talented stuffs Get new technologies Specify the needs in international market Create the connection