In this interview by the well-known Web TV interviewer, Randall Craig, Frank O’Dea provides a recent example of creating a new market space. In Brazil the housing developers have been so busy building homes for the middle class that they have ignored the need to innovate building methods and materials to be more productive in time and profits. The result is now stalled projects in the face of growing demand by the middle class.
This interview shows how Frank’s company is using innovative technology and targeting a different market space in that country to forge ahead while all the others are stalled.
People familiar with O’Dea’s remarkable business career will see the same threads of innovation here that were the keystone to his success in other businesses, such as Second Cup and Proshred Security. In both of these cases he used a process similar to value innovation, to create dynamic and profitable international businesses in industries that were stagnant at the time.
The famous business book, Blue Ocean Strategy, by professors Kim and Mauborne, describes the strategies of people like Frank O’Dea, who created new market spaces, making the competition irrelevant. In this interview, Frank O’Dea advises new entrepreneurs and established business people on how to avoid margin-shrinking competition by selling to a different market than the competition. He uses examples ranging from Samsung to Cirque de Soleil to several of his own businesses (Second Cup, Proshred Security) to show how it can be done. By using value innovation, a process researched by the two INSEAD professors, businesses can discover the way to reposition/re-invent their products or services, even in very mundane industries, and leave the competition in the dust.