Update 2 from IBD Team Fielo

FTMBA students Dan Cho, Cynthia Song, Peter Stilwell, Rob Uvanovic and Qing Ye spent 3 weeks in Rio de Janeiro and Buenos Aires working with Fielo, a B2B loyalty incentivization platform. Here, they give an insight into life outside the office.

Our IBD project has taken us to three amazing countries in three weeks. It’s been hard work but we’ve also had an opportunity to live as South Americans do, embracing their passion for both football and fitness.

The Big Game
The Build-Up
We’re going to the Boca game!” Rob announced, brandishing five tickets and smiling like Charlie when he won the golden ticket to Willy Wonka’s chocolate factory. The group emitted a collective shudder. Boca Juniors…one of the biggest football clubs in Argentina with the most passionate supporters in the country, and possibly the world. Such passion often spilled over into violence with almost 90 deaths at football matches in the previous 10 years.Picture1

And we were going. Our motley crew of two Americans, to whom passion in sport was getting upset because the hotdog at the baseball didn’t have enough mustard and two Chinese whose only previous experience of live sport was watching their grandparents play Mahjong.

As we approached tPicture2he magnificent Bombonera stadium, we could feel tangible tension in the air. This despite the fact that there were no opposing fans since a nationwide ban several years earlier! We walked through approximately 12 lines of police, spread out every 100m or so on the approach to the stadium. Each time we were searched thoroughly, with seemingly something confiscated at every step. By the end, they had even taken away Dan’s pink highlighter. Fortunately, this turned out to be the most traumatic event of the evening.

The Main Event
The game itself was a low quality 0-0 draw but despite this the crowd made an almighty noise and never stopped drumming and singing. We briefly pondered how a drum was allowed into the stadium and not a pink highlighter but couldn’t work it out. Just as impressive were the flags, banners and ribbons which brightened up the stadium, creating a visual cacophony of yellow and blue.

Photo credit: Qing Ye

Photo credit: Qing Ye

The Aftermath
As we made our way out of the stadium into the Buenos Aires night, we reflected on a quite remarkable evening. The Boca supporters had been truly magnificent and we had witnessed nothing but passionate support for their team. The team agreed that it had been a successful evening and returned home reinvigorated for the next day of work, stopping off at the dry cleaner to drop off Dan’s soiled underwear.


Screen Shot 2016-07-21 at 1.57.21 PM

Exercising
From the moment we landed in Rio, we’ve been in awe of the natural beauty that surrounded us. We would often gaze around in wonder, mesmerized by the synergy of mountains, water, and city. Our team lead, Cynthia, inappropriately noted that in addition to the beautiful landscape, the people were rather attractive as well. Peter wisely offered his opinion, suggesting that this was possibly due to the fact that there was at least one gym or fitness studio per block and an exercise station every few hundred feet along the beach.

Following up on his observation, we attempted to do as the Brazilians do and get our fitness on. Look at Cynthia.

Interesting attempt. Man in green shorts is not impressed.

Interesting attempt. Man in green shorts is not impressed.

Rob did well. Form is on point. Why was his shirt still on? Brazilians were also confused.

Picture7

Here is Peter and Dan at a gym. The trainer winked and flirted his way to Peter’s million dollar frown.

Picture8

QING!!…wrong outfit for pushups. No ponytail. Shoeless. Laughing. Sigh

Picture9

Peter and Dan went on a morning jog along Ipanema beach. Wowza. Would ya look at that!

Picture10

We celebrated with a coconut.
Drink the coconut Peter.

Picture11

Good. Fabulous technique Peter.

Picture12

Time for the team to put all that exercise to good use and jump…!

Picture13

ROB!! >=( We’ll miss you Rio ❤

 

 

 

Update from IBD Team Fielo

FTMBA students Dan Cho, Cynthia Song, Peter Stilwell, Rob Uvanovic and Qing Ye spent 3 weeks in Rio de Janeiro and Buenos Aires working with Fielo, a B2B loyalty incentivization platform. Here, they describe a typical day in the life of a software startup.

Our client is a Brazilian start-up that was founded by one of our very own Haasies – Sanjay. After studying computer science and working in tech in the Bay Area, he decided to go back to his home country Brazil to explore the untapped technology industry. His first “barrel of gold” came from founding the first ever Salesforce implementation consultancy in Brazil. After more than 10 years of successful track record, Sanjay started his second new venture – a 100% cloud based software solution for automating customer loyalty and engagement. He has come to us for go-to-market advice: which industries should his new product focus on? And how can he target these industries?

Now, let’s take you through a typical day of us on client site.

Morning, 8am – Preparing for Innovation Workshop

Today is the big workshop day! After taking PFPS and hearing how multiple past IBD projects have successfully used PFPS to achieve unexpectedly positive results on client sites, we are determined to give it a go. We came up with an innovation challenge for the client: how might we create win-win relationships between consumer product brands and their channel partners?

First things first – post-it notes. We rushed to the stationery to get multi-color post-it notes. We invited the Chief Customer Office, Demand Generation Officer and several key members on their teams to join the workshop. Before the workshop, our team already did our fieldwork with key experts, so that we are ready to bring in insights.

After a brief introduction to PFPS methodology, everyone is ready to brainstorm, synthesize and come up with a How Might We.

Picture1

Then the teams got creative coming up ideas, and even got some time to eat the local delicacy – empanadas! See Dan and Peter’s impressed (stuffed) faces!

Screen Shot 2016-07-18 at 11.51.11 AM

Lastly, it’s show-time! Final presentations from both teams are full of brilliant ideas and excellent storytelling.

Screen Shot 2016-07-18 at 11.54.31 AM

Although the first time using human-centered design approach, the client left very impressed and loved the energy throughout the workshop.

Afternoon, 3pm – The industry expert interviews

Industry expert interviews is a big component of our research approach. In order to understand the pain points and underlying needs of both vendors and their channel partners, we reached out over 200 industry experts since March.

Rob’s LinkedIn Profile

The biggest challenges of conducting interviews? Getting the interview!

The team had a plan. Step 1, look for Haas and Cal alums on LinkedIn with key words such as “sales enablement”, “channel partners”. Step 2, find their personal email addresses in Cal alum platform. Step 3, send a cold email and wait for replies.

Team busy on the phone doing interviews

Team busy on the phone doing interviews

And then, there was few reply. Perhaps 1 in 20.

The only person who seemed successful in setting up interviews was Rob. So the team turned to Rob for help. In the second phase of outreach, we did two things differently: 1) we added “incentives” in our cold emails – if people agree to chat, we will share research findings; 2) everyone used Rob’s LinkedIn account to send out interview requests.

Picture7

This time we heard back from 1 in 2 people we reached out to.

We ended up interviewing 51 from a variety of industries and functions.

Picture8

Early Evening, 6pm – One more client interview…

We interviewed one of Fielo’s existing clients, Oi, Brazil’s largest telecom, at a café, which was a great experience in being able to pull true insights due to the interview being in Portuguese and right outside Oi’s office. During the interview, we were really able to see the way that business is conducted in Brazil, which is done much more through personal relationships. The interview was over coffee, the staple of any Brazilian business meeting, and began with the customary five minutes of small talk and getting to know each other.

This interview proved a critical turning point in our research, as we began to truly understand why our client’s product had the potential to be very successful. Oi walked us through their case study of how they used our client’s product to incentivize shop owners to sell more of their sim card as opposed to their competitors.

Key Takeaways

Seeing how a technology product can move from an idea to incentivizing shop owners and store clerks who work in kiosks and sell hundreds of products every day, to specifically push your product over another, was very inspiring.

It was great to see how open our client was in giving us access to their clients and talking about how important these interviews were towards their progress as a company, while it was really neat to see how much detail a large company such as Oi was willing to give a group of students.

This was very symbolic of the way that we have been treated in Brazil, in that if you ask a question, you will almost always get an honest and detailed answer, as people are always looking to help you.

In the Land of the Inkas

Inka_1 copy.png

Have you ever heard of sphagnum moss? Neither had we. Our team, FTMBA 2017 students Mitul Bhat, Katrina Gordon, Pan Lu, Hady Barry and Mostafa AbdelAziz, had the chance to explore this new world of small, absorbent, flowering plants through our Spring 2016 IBD project. We were assigned to work with Inka Moss, a Peruvian social enterprise, and one of its investors, NESsT, an early-stage impact investor, to develop a US go-to-market strategy for the sphagnum moss that Inka Moss collects and processes. Sphagnum moss is a highly absorbent type of moss that is used to grow specialty plants like orchids. It is used in its other forms as a soil conditioner, for decoration, or even as a natural water filter.

The “Moss” Diverse Team in IBD History

Inka_2 copyBetween ethnicity, nationality, languages spoken, professional experience, religious background, dietary preferences and sleep schedule, the members of our team were different in every way. This diversity in experiences and points of view made our experience quite unique!

map.png

table.png

Exploring Peru

In an effort to get to know Peru before starting work, we arrived early to explore different parts of the country. We hiked Machu Picchu, checked out the glaciers of Huaraz, and challenged our bodies at elevations over 5000m (16,000ft) high. We also quickly learned we love Peruvian breakfasts and walking around the beautiful streets of Lima!

Inka_4 copy.png

Ceviche por favor!

In between working, we were able to discover the city and find what makes this beautiful place tick. To our surprise, food became a pivotal part of this trip. Lima is a culinary powerhouse, and the ceviche, Chinese fusion ‘chifa,’ sandwiches, meats and local fruits definitely made the long hours together and many revisions of our project so much easier.

Inka_5 copy.png

Inka_6 copy.png

Getting Down to Business

We devised an elaborate plan to create a helpful strategy for our client, which meant our schedule was packed: defining target customers, developing positioning of products, creating a go-to market plan with detailed messaging, pricing, distribution, and marketing tactics, and finally an implementation plan to boot!

Day…

Inka_7 copy.png

…and Night!

Inka_8 copy.png

Highlands visit

To give us more context, our client arranged for us to visit Inka Moss’ production facility in the Highlands. We had to wake up at 5:30 am to catch a 7-hour bus ride from Lima to Jauja, but we were very excited to gain a better understanding of where the moss is grown and the collect, cleaning, drying and packaging processes.

Inka_9 copy.pngInka_10 copy.png

Most importantly, we had the unique opportunity to interact with the community and understand the impact that Inka Moss has had in the communities it works with. After spending one day in the community up on the mountain, the next day was filled with sharing and interpreting the information and insights from our trip, brainstorming on our next steps, getting to the bus station, and a 10-hour bus ride! The traffic was insanely bad, but we finished 5 movies, 2 books and caught up on 2 days of sleep. Success!

Down to the Wire

In the end, it was our mission to turn all our experiences into actionable insights and devise a holistic go-to-market presentation for Inka Moss to use to enter the US market.

Inka_11 copy.png

#doitforthemoss

Inka_12 copy.png

Happy client, happy team! As we presented to our client during our final presentation, our goal was to offer Marco insights and actionable next steps that would enable Inka Moss to hit the ground running. If you asked any of us four months ago what sphagnum moss was, we would have had little to say—but now we can’t stop talking or thinking about it!

 

Updates from IBD Brazil – Team Bematech

Berkeley-Haas Part-Time MBA students Janice Chien, Dan Krebs, Reid Yokoyama, and Roma Zhu worked with the Brazilian point of sale company Bematech.

Olá from Curitiba, Brasil!

Bematech isn’t a company you may be familiar with in the US, but thanks to Team Bematech, the company will hopefully make some waves in the competitive point-of-sale market in the United States.

A Rollercoaster of Emotions

Bematech is a publicly traded point of sale company in Brazil (BEMA3:BZ) which has dominated the Brazilian market due to the sale of monitors, cash registers, and printers for Brazilian businesses. Most importantly, Bematech produces fiscal printers, which are required by businesses to track the government tax of each sale.

Through acquisition, Bematech entered the US market and sells kitchen display systems and all-in-one point-of-sale hardware. The point-of-sale industry, thanks to companies like Square, Clover, Revel, and hundreds more, is undergoing a rapid transformation, and Bematech wanted us to identify key trends and strategies to grow their presence in the US market.

Unfortunately, no one on the team had any familiarity with point-of-sale hardware! Our pre-country work included rapid learning, interviews with distributors and merchants, and of course, PFPS tactics:

Employing PFPS tactics!

Employing PFPS tactics!

At our darkest moments, we felt the request was impossible and as part time students, the demands of work and family life meant it was difficult to put in the time that the project required. But, we were able to hone in on several key strategies to pursue in country and arrived in Curitiba with several to present to Bematech.

Building Trust…

Meeting the leadership team in Brazil was eye-opening. We were briefed on Brazilian culture, but experiencing it in person was incredible: everyone was extremely friendly, gave us their favorite recommendations for our weekend trip to Rio de Janeiro, and wanted us to get the most out of our trip.

Haas gear travels well and makes a great client gift!

Haas gear travels well and makes a great client gift!

…and finding a purpose

Although our goal was to help with a US growth strategy, Bematech took us to their factory where they make their fiscal printer. Given the government move to online tax tracking, the fiscal printer’s lifespan is limited. There, we were warmly greeted on the factory floor and watched workers assemble printers and repair broken ones (Operations 101, anyone?)

We were warmly welcomed at the Bematech factory

We were warmly welcomed at the Bematech factory

A view of the factory floor

A view of the factory floor

It was here that we realized that our class project, presentations, and final grade had a higher purpose. We had a chance to help Bematech transform beyond their traditional business model. Doing so would ensure the workers in this factory would continue to have jobs in the future. Our team was even more motivated to work on our final presentation.

We also got to test a new product that will hit the market later this year:

Janice may or may not have purchased 25 cervejas :)

Janice may or may not have purchased 25 cervejas 🙂

Have Cal gear, will travel

Locals gave us enough recommendations to spend a whole month in Rio, but we had to settle for a weekend getaway between our in-country weeks. Suffice it to say: the weather was beautiful, we played volleyball with locals, and churrascarias and caipirinhas did not disappoint.

Visiting Cristo De Corcovado in Rio de Janeiro

Visiting Cristo De Corcovado in Rio de Janeiro

Wearing Cal gear also allowed us to meet a few students traveling in country on an exchange program!

Opportunities like these are once in a lifetime and having read several of the Haas in the World blog posts, it’s incredible what Haas students have accomplished all over the world. Hopefully we did our part to represent Haas and make a difference for our client and their customers.

Obrigado – thank you!

Updates from IBD Chile – Team Falabella

Berkeley-Haas Full-Time MBA students Pati Silva, Cori Byrum, Carlos Olson, and Rob Kenny participated in a summer IBD project in Chile with the LATAM retailer Falabella.

As we boarded the plane in SFO having just finished a memorable first year in the Full-Time MBA program, we were excited to learn more about Chile, and specifically the retail sector there and more broadly in Latin America.

Our team was comprised of four people with varying knowledge of the region and sector (as well as Spanish language skills!). This meant that we were all very excited to experience something new.

Final preparations coincided with deadlines for group projects and final exams, which meant for a frenzied couple of weeks before we headed for Santiago. Thankfully, we had a couple of days to gather ourselves after we arrived before starting the project in earnest.

We were tasked with helping Falabella better understand the rapidly evolving digital payments space and how this will impact Latin American consumers in the coming years.

Retail is a great way to gain insight into all aspects of society, and Falabella is a strong player in the Peruvian, Argentinian, Colombian, and especially Chilean, markets with strong department stores, home improvement and food retail businesses. Experiencing these first-hand in Santiago gave us a great understanding of the similarities and differences between US/European and Chilean consumers.

Falabella also has a strong presence in the financial sector with a bank, credit card and insurance business, which capitalizes on their strong relationship with their large customer base.

Finally, and perhaps most surprising to us, Falabella successfully runs large and modern malls. The ones we visited wouldn’t have looked out of place in San Francisco or London. They were also almost universally full to bursting with consumers. It seems like visiting malls is a favorite hobby for Latin American consumers!

Overall, we all really enjoyed getting a great insight into a strong, interesting and diverse company, as well as gaining a better understanding of the Chilean consumer.

Chilean people were so welcoming and friendly (except perhaps when they were behind the wheel of a car…), and we really enjoyed their hospitality. We even managed to stumble across President Bachelet welcoming the Honduran President to Santiago.

While our project didn’t call for any travel outside of the capital, we still managed to enjoy exploring some of the surrounding areas like the wine regions around the Colchagua and Casablanca valleys and the beautiful coastal cities of Valparaíso and Viña del Mar.

Eager to start our first day at the Falabella office in Chile!

Eager to start our first day at the Falabella office in Chile!

Visiting the Chilean version of Ikea, Homy, with one of our favorite Falabella hosts, Walter.

Visiting the Chilean version of Ikea, Homy, with one of our favorite Falabella hosts, Walter.

We enjoyed visiting the Falabella department stores and observing the similarities and differences to the similar stores we have at home (like Macy’s).

We enjoyed visiting the Falabella department stores and observing the similarities and differences to the similar stores we have at home (like Macy’s).

While Chileans will admit they are not known for their cuisine, we had some delicious meals. Our favorite food item? Definitey empanadas!

While Chileans will admit they are not known for their cuisine, we had some delicious meals. Our favorite food item? Definitey empanadas!

Our wonderful classmate, Katia Glucksmann, hosted our team and visiting IBD Team Boacadio from Peru for a traditional Chilean meal.

Our wonderful classmate, Katia Glucksmann, hosted our team and visiting IBD Team Boacadio from Peru for a traditional Chilean meal.

The Santa Cruz wine producing region was very scenic and a welcome escape from the hustle and bustle of the city.

The Santa Cruz wine producing region was very scenic and a welcome escape from the hustle and bustle of the city.

fal7

On a casual walk back from a meeting, we saw Chilean President Michelle Bachelet and a miliary presentation that marked Santiago’s welcome to Honduran President Juan Orlando Hernández.

On a casual walk back from a meeting, we saw Chilean President Michelle Bachelet and a miliary presentation that marked Santiago’s welcome to Honduran President Juan Orlando Hernández.

Our final presentation with the QuickPay Team! – Pablo, Alvaro, Guillermo

Our final presentation with the QuickPay Team! – Pablo, Alvaro, Guillermo

Updates from IBD Brazil – Team Sony PlayStation

Consoles, Caipirinhas and Coxinhas: Our Journey through Brazil

Steve Boogar, Andrew Hill, Amanda Ogus, Caitlyn Toombs

Greetings from Sao Paulo, Brazil! We have had an action-packed three weeks here working hard and playing hard for Sony PlayStation Brazil’s office. For our project, we were tasked with understanding gamer motivators and the gaming market in Brazil (vagueness of description based on our comprehensive NDA we signed prior to arrival :-).

First day at the new Sony PlayStation-Brazil offices (with a not-quite-to-scale map of South America/Brazil behind us. L to R: Caitlyn Toombs, Amanda Ogus, Andrew Hill, Steve Boogar

First day at the new Sony PlayStation-Brazil offices (with a not-quite-to-scale map of South America/Brazil behind us). L to R: Caitlyn Toombs, Amanda Ogus, Andrew Hill, Steve Boogar

Working Hard

In our first two weeks, we went to the streets (literally) to try to understand in person what we had been researching for the last 5 months. From taxes to currency issues, Brazil’s market has different problems to tackle for all economic goods. Add to that a relatively recent formal Brazil PlayStation presence (2-3 years) with a savvy Brazilian consumer used to asking many questions and researching many price points. As a result, between physical market and custom differences, it was important for us to see the stores ourselves and talk with as many people as possible.

We started with a whirlwind tour of their Retail channels. PlayStation games and consoles are sold in many different types of stores – big to small, electronics to general, malls to street kiosks – and each targets a slightly different consumer. PlayStation takes pride in making the buying experience easy and interactive, with clear descriptions of games and in-store staff properly versed on the eccentricities of all game features and sales data.

The team analyzing the PlayStation shelf with one of the Sony promoters

The team analyzing the PlayStation shelf with one of the Sony promoters

Besides just observations, we conducted many interviews with all levels of stakeholders. We chatted with store managers, Sony promoters and customers to gauge what the shopping experience really felt like and where the pain points lay. With the help of our trusty translator/guru/promoter guides Henrique and Eduardo, we got a rich understanding of the market and heard many salient insights (many of which complemented and reinforced others).

In addition to in-store visits and meetings, we also held a night of focus groups and gamer observations to dive deeper into our target market. It was fascinating to hear from Brazilian gamers and see their passion for PlayStation in person.

Focus Group of PlayStation gamers

Focus Group of PlayStation gamers

Gamer Observations with live PlayStation

Gamer Observations with live PlayStation

PlayStation loves Brazil and Brazil loves PlayStation! (L to R: Leo Zuppiroli - our fearless in-country leader; Amanda Ogus; Heber - fanatic PlayStation gamer; Andrew Hill)

PlayStation loves Brazil and Brazil loves PlayStation! (L to R: Leo Zuppiroli – our fearless in-country leader; Amanda Ogus; Heber – fanatic PlayStation gamer; Andrew Hill)

Of course, no Haas project would be complete without a PFPS post-it map, and we did plenty pulling together our final deliverable!

Clustering and name for our final report

Clustering and name for our final report

 Playing Hard

As the team lucky enough to work with PlayStation, we found that play was very important in all elements of our work. Sony Brazil’s team does a great job of mirroring the passion for the company and the product. Everyone in the office was ready to answer any and all questions we had on the interface, favorite games and other technicalities of gaming that some of our team had little to no experience in (cough Amanda and Caitlyn). Therefore, a big part of getting up to speed for us was testing out the games!

Drew, Caitlyn, and Amanda working hard to get up to speed on their product offering

Drew, Caitlyn, and Amanda working hard to get up to speed on their product offering

Of course, being in Brazil, our play was not only limited to our product. Our amazing host, Leo, gave us on a whirlwind tour of the best culture Sao Paulo had to offer! We had our fill of caipirinhas (delicious fruit cocktails usually made with cachaça, a local liquor – the team’s favorite flavor was passion fruit!), coxinhas (fried deliciousness shaped in triangles stuffed with cheese and chicken, usually) and lots of choppe (draft beer).

Leo and the team enjoying caipirinhas and coxinhas at Veloso Bar, one of our favorite places in Sao Paulo

Leo and the team enjoying caipirinhas and coxinhas at Veloso Bar, one of our favorite places in Sao Paulo

We also took time to explore the city by walking to parks, visiting museums and shopping for Havainas, Brazil’s popular sandal maker!

A view from a run through scenic Ibirapuera Park - a hidden oasis in the big city

A view from a run through scenic Ibirapuera Park – a hidden oasis in the big city

We also explored outside of Sao Paulo for a weekend in Rio! Rio was just as great as everyone described – beachy, bustling and colorful. From site-seeing at the Corcovado to enjoying feijoada with some locals (thanks to a fellow business school classmate, Grace, for the intro!), relaxing at the beach to running up the Escaderia Selaron stairs in a brief rain shower, Rio did not disappoint on our last weekend in Brazil.

The amazing Corcovado in person - apparently we weren't the only people interested!

The amazing Corcovado in person – apparently we weren’t the only people interested!

Escadario Selaron stairs – just as beautiful and colorful in person, even on a rainy day

Escadario Selaron stairs – just as beautiful and colorful in person, even on a rainy day

Our combined Haas IBD teams together in Rio!

Our combined Haas IBD teams together in Rio!

Overall, our team had a very enriching and enjoyable three weeks in Brazil, and we thank the IBD staff and our friends at Sony for all they did to make this happen!

#brahaasil

#brahaasil

Updates from IBD Peru and Chile – Team Bocadio Part II

Part II of Spring 2015 IBD Team Bocadio’s adventures working with Bocadio, an innovative, high-quality meal delivery startup in Latin America.

3 – On Getting a Phone

As we settled into our daily routine of data analytics and market sizing, it was clear that communicating with each other, and Diego, would require finding a dataplan. It was through this adventure that Christian and Steven discovered that Inventarte’s complex check-out process was perhaps simply indicative of a cultural difference we had missed: Peruvians enjoy processes. Indeed, as it turns out, securing a phone plan required no less than 12 steps:

The Twelve Labors of Claro

  1. Find the only store in Lima where you can purchase a SIM card for your phone from Claro, one of the major operators in Latin America
  2. Revisit the store a second time, as it is closed on the weekends
  3. Line up for a ticket, and explain purpose of visit in broken Spanish
  4. Realize you need your passport and the little immigration stub to accomplish most things in Peru
  5. Return to hotel to pick up passport
  6. Rush frantically back to the store, as it closes early
  7. Line up for a ticket, realize the person at the desk has changed, and explain again the purpose of visit in broken Spanish
  8. Wait to be called to a customer service counter and get a voucher for a SIM card
  9. Line up at cash register to pay for the SIM card itself
  10. Return to customer service counter to collect SIM card
  11. Line up at automated kiosk to add initial credit to phone
  12. Return to customer service counter, to activate phone
Claro - many phones but only one place to buy a SIM

Claro – many phones but only one place to buy a SIM

In the hotel lobby, Kayo had already secured her own dataplan, and was happily browsing away when Steven and Christian, having triumphed over Claro, returned sweaty and disgusting, but with chests stuck out like proud warriors bringing back in their pockets the spoils of their war. “Actually,” Kayo said, “for me it was very fast. Japanese Guide told me everything I needed to bring.”

On the inside, Christian and Steven wept.

4 – On Our Travels Outside Lima

In Steven and Ben’s absence, Kayo and Christian opted to use their weekend alone to travel outside of the city and see some of the country’s favorite sights. While forewarned by Japanese Guide of the challenges that lay ahead of them, they embarked upon a perilous 8-hour bus and car journey to Nazca, sight of the world-famous Nazca lines. Of course, travelling around the country is much easier today that it would have been in the time of the Nazca people. Thousands of years ago, it would have taken months to get from Nazca to Lima by llama whereas today, thanks to the way people drive, you are lucky to get there at all.

Whatever they may have felt, however, Kayo and Christian had no real choice: humans are hard wired to travel. Indeed, we travel because no matter how content we are at home, we yearn take new tours, buy new souvenirs, introduce ravenous new bacteria to our intestines, learn new words for “explosive diarrhea,” and have all kinds of other unforgettable experiences that make us want to embrace our beds when we finally get home.

Of course, none of this mattered once Christian and Kayo finally found themselves on the tarmac of the Nazca Aerodrome (Motto: “The only way to fly. No really, we mean it, there is nothing for hundreds of miles.”) awaiting their turn in the back of a tiny Cessna, the preferred method of viewing the ancient lines. Thankful that the very hearty breakfast they had enjoyed that morning was helping to keep them warm in the frigid desert, Kayo and Christian listened to the pilot’s instructions as they were strapped into their seats. “Oh and I hope you skipped breakfast this morning,” he concluded, “things can get pretty bumpy.” Christian opened his mouth to make a witty remark, but before he could, the minuscule aircraft shot into the air.

Happiness...

Happiness…

...and a little bit of anxiety -- just a bit

…and a little bit of anxiety — just a bit

Meanwhile in Santiago, Steven and Ben were helping Diego add a real-world lens to his market research. The goal of the visit was to better understand the market conditions and viability for starting a Bocadio branch in Santiago, and begin building relationships with investors and local operators who could one day help grow the business.

Our first day in Santiago, a Haas alumnus, and old friend of Diego, Koichi Arimitsu, had a dinner to welcome Diego, Steven and Ben to Santiago. Koichi shared his experiences as an entrepreneur in Chile, starting one of the first large-scale solar plants in the northern desert. Koichi explained that Santiago’s start-up community is growing quickly, and is heavily supported by a strong government infrastructure. Koichi also complained about the lack of delicious food, despite the wealth of incredible, locally grown ingredients (Chile’s top exports include Wine, Salmon, Avocados, Grapes, Apples, Pears, and Pigs). As Koichi explained, “they’ve got amazing ingredients, but have no idea how to prepare them!” In fact, Chileans avoid “Chilean” cuisine at all costs. What are the two hottest restaurants in town? Peruvian exports: Gaston Acurio’s Le Mar, and Ciro Watanabe’s Osaka.

Diego, Ben, and Steven were excited to hear that the market opportunity in Santiago was prime for a new, high quality, low cost food delivery service – especially one backed Peruvian chefs that could meet the demand of a growing middle-class that lacked in-home help.

Koichi's Texas-sized portion of Pork & Asparagus

Koichi’s Texas-sized portion of Pork & Asparagus

The second day in Santiago, Steven, Ben and Diego had lined up a number of meetings with potential investors, including another solar entrepreneur (Haas ’07), a family office who was responsible for bringing Papa John’s to Chile, and the head of Fundacion Chile (Haas ’06). The first two meetings went incredibly well, each investor indicating that Bocadio would do well in Santiago, and they may be willing to contribute to help fund its expansion.

Diego discussing the Bocadio concept with Haas alum Christian Sjorgen

Diego discussing the Bocadio concept with Haas alum Christian Sjorgen

Steven, Ben and Diego were over the moon with this feedback. Hearing from real investors in the flesh of Bocadio’s market potential helped validate the months of market research they had been conducting on the ground in Berkeley. Further, they began to realize that the idolization of Peruvian cuisine and lack of local flavors was unique to Santiago, and perhaps made it a better market to begin expansion when compared to cities with similar profiles (such as Bogota).

The third day, Diego had arranged a tour of Aramark’s largest food processing facility in Santiago. This plant was responsible for cooking and delivering hundreds of thousands of meals a year to mines scattered across the north and south of Chile. The plant tour would provide Diego a window into a state-of-the-art food production facility, and the techniques required to optimize cooking food & then chilling it for delivery at scale.

Walking through the factory floor, Diego, Ben and Steven got to see first-hand the incredible technology that made this type of food production possible – including a laser-cutting machine that could quickly dice any type of meat into uniform cubes, identical in weight, and a giant skillet that could cook hundreds of pounds of spaghetti with meatballs by simply loading the ingredients. While adding to the future wish-list of equipment, Diego, Ben and Steven were also able to have an insight that could be applied immediately – adopting a bar code scanning system that could trace the origin of each meal, allowing for better insights throughout the supply chain.

Visiting Aramark's Plant

Visiting Aramark’s Plant

Ben and Steven taking advantage of the weekend in Santiago on horseback through the Andes

Ben and Steven taking advantage of the weekend in Santiago on horseback through the Andes

Showing some school spirit

Showing some school spirit

 

Updates from IBD Peru and Chile – Team Bocadio Part I

Berkeley-Haas Full-time MBA students Benjamin Geller, Steven Truong, Christian Kaas and Kayo Inoue worked with Peruvian food delivery startup “Bocadio” to launch the business in Lima, and craft a plan for expansion throughout Latin-America. Bocadio combines technology and gastronomy to provide high-quality meals delivered quickly at a low price-point. Originally our goal was to help Bocadio in its initial month of operation in Lima, while researching opportunities for international expansion. However, upon landing we realized that construction on the kitchen had been delayed. With this impetus, we refocused our project on preparing the Bocadio team for a successful Beta period when the kitchen completed in August, and investigating international expansion in Santiago, with Steven and Ben joining Diego for one week to meet with investors and operators.

1 – On Arriving in Peru

While the team left Berkeley at 4am, it was already night time when we arrived in Lima, excited to begin our IBD adventure with Bocadio, the latest addition to the city’s thriving food scene and the local analog to the Bay Area’s successful Munchery concept.

Making our way through the airport towards baggage collection, Steven saw an excellent opportunity for us to get started on one of the most important parts of our project. “Guys, we need to take a picture for our blog!” If I had even been irritated by tourists’ propensity to photograph themselves in the inane and inconvenient of settings, I can now sympathize that they must simply be collecting material for their IBD deliverable. This picture of us happily holding up foot traffic in-front of the Jorge Chavez International Airport international arrivals’ women’s lavatory can attest to this.

Arrival in Lima

Arrival in Lima

Exhausted by our trip, we were happy to have arrived a day early and to have Sunday off to discover Lima. Our first challenge was an important one, particularly given our project context: where do we eat? TripAdvisor raved about a local joint Haiti Haiti Café that was, rather interestingly, neither Haitian nor really a café. Proud of our first foray into the local culinary scene, we would later tell our client team about Haiti Haiti and how happy we were with our discovery. “This is not a good place to eat,” the team grimaced. Surprisingly, it turns out that hotdoggurl_345 from Skokie, Illinois is a poor assessor of Peruvian cuisine. Who knew?

First lunch in Peru - they love their potatoes

First lunch in Peru – they love their potatoes

Another wonderful meal - we were making a habit of this

Another wonderful meal – we were making a habit of this

While Steven and Christian put their extensive experience with the Spanish language and mime to communicate important things like “beer” or “fork,” Kayo seemed to be faring altogether better with her guidebook, sadly impenetrable for mere mortals, which we came to know affectionately as Japanese Guide.

Japanese Guide, or why Kayo always knew more than we did

Japanese Guide, or why Kayo always knew more than we did

2 – On Meeting Diego

Monday morning was our first meeting with Diego, who came to meet us at our hotel. Diego’s little yellow car shot through Lima traffic like a pinball, with team Bocadio in tow. “Don’t be afraid if I’m driving a little bit crazy, eh,” said Diego, elbowing his way across three lanes of traffic to catch a late turnoff, “it’s just the way you need to do things around here.” Some pink returned to our knuckles as we partly unclenched our grip our Diego’s car seats. Diego’s car would later feature in one of my dreams, with a rocket attached to the back, like a bright yellow Batmobile.

In record time, therefore, we found ourselves at Bocadio’s new office, nested above a little café in the upscale residential neighborhood of San Isidro. We enjoyed meeting so many of the people who – up to now – had only been names on an e-mail chain: Mauricio, Alex, Willy and Laura. Also present on our first day was Coque Ossio, one of Diego’s principal backers and owner of, we have come to suspect, pretty much every restaurant in Peru. Upon finding us setting up shop in a bakery near our hotel, Diego remarked “how do you like the Bonbonnière, it belongs to Coque, you know.” The restaurants at Lima airport? Coque. This celebrity connection greatly entertained us, of course, and Steven enjoyed introducing us everywhere we went as friends of Coque. Often, people would nod enthusiastically, either recognizing the name of one of the country’s great chefs, or thinking Steven was crazy. My money is on the latter.

Diego's yellow car

Diego’s yellow car

We then had the opportunity to sit down with Bocadio’s head chef at Coque’s restaurant across the street, and perform the arduous task of taste-testing potential items for the menu. We were struck by the vibrancy of flavors, and the different uses of potatoes in the dishes – who knew that Peru had over 3,000 varietals! We knew at this point that Bocadio had a dynamite product, which was great to experience first-hand.

Bocadio team member Mauricio helping serve up our first tasting

Bocadio team member Mauricio helping serve up our first tasting

 

Alex Riccio, one of Bocadio's main chefs, and a Munchery alum

Alex Riccio, one of Bocadio’s main chefs, and a Munchery alum

The team working hard

The team working hard

Happy campers pose with Chef Alex

Happy campers pose with Chef Alex

 

But back to Bocadio. One of our first tasks was to accompany Diego to meet Inventarte, his website production team, to review their progress and offer some suggestions for user-centric design based on our extensive experience of the one class Ben took on the subject. One of the main observations we made that day was that the check-out process for new users seemed overly complex, to the point of being potentially off-putting for new customers. In a similar vein, much of this first meeting focused on reducing the complexity of the Bocadio sales funnel, to make the ordering process as pleasant an experience as possible.

Reviewing the progress on the website

Reviewing the progress on the website

At the end of our first day, Diego dropped us off at one of Lima’s best-known Cevicherias, renowned for their modern interpretation of Peru’s ceviche, raw fish seized with lime juice. “The restaurant is great, but not in the best part of town,” Diego said. “Don’t leave this street.” Ben turned around to ask if he would like to join us “Dieg…”

But he was gone.

Like Batman.

boc12

“I’m Batman.”

Stay tuned for part 2 of Team Bocadio’s adventures…

Updates from IBD Brazil – Team Geave

“Stunning” Brazil: Update from Team Geave in São Paulo

Alexis Kastrenakes, Jake Qian, Marisa Johnson, and Seungjun Lee

 

Brazil: the land of samba, churrascarias, and as this Haas IBD team was about to become intimately aware of…the booming aquaculture industry. Despite the country’s expansive coastline and river system, Brazil’s aquaculture sector is still relatively nascent, but growth is expected to exceed the global average for the next five years. Much of the country’s production is tilapia and we were about to get front row seats to see how the sausage (tilapia, that is) gets made.

This is winter?

This is winter?

Our client, Geave, is a São Paulo-based manufacturer of technology equipment solutions for the meat processing industry, and Geave’s leading solution is an electronic stunner for poultry processing. (Don’t worry: their equipment doesn’t actually kill the animal. It actually promotes humane practices as it renders the animal unconscious before the moment of slaughter.) Geave identified a unique opportunity to leverage their food processing technology into the fast-growing aquaculture industry in an effort to diversify their product and customer portfolio. Our project centered on helping the management team understand the aquaculture industry in other markets (Chile, Costa Rica, Norway, and USA), conducting customer, competitor, and partner interviews, and ultimately using these insights to form a recommendation for how Geave should enter the aquaculture market in Brazil. The entire time, and particularly once we conducted customer visits, a huge question loomed in the back of our minds: is the electronic fish stunner, the original focus of our project, really the right solution?

The team traversed Sao Paulo State visiting partners and potential customers

The team traversed Sao Paulo State visiting partners and potential customers

A lighter moment as Team Geave prepares to enter our first fish slaughterhouse

A lighter moment as Team Geave prepares to enter our first first slaughterhouse

We’ve spent the majority of our time working with Geave’s three partners: Luiz “The Comedian”, Giancarlo “The Mad Scientist”, and Jimmy “The Gangster.” They don’t necessarily identify with these characters we’ve bestowed on them, but they are truly, wholly, 100% accurate. Luiz is the quintessential salesperson of the group and leads Geave’s client management initiatives. Giancarlo is the innovator and inventor who has a penchant for engineering and vintage calculators – he even owns a functioning computer from 1968. Jimmy joined the team earlier in 2015 with an engineering background and experience working for SABESP, the water and sewage provider, for nearly two decades. (Check out the picture below and you’ll understand his moniker.) We worked closely with the management team to understand Geave’s strengths, legacy, and vision for future growth.

Jimmy "The Gangster" stops the van so he can test out his new knife on some unsuspecting sugar cane

Jimmy “The Gangster” stops the van so he can test out his new knife on some unsuspecting sugar cane

Our Geave clients: Jimmy, Luiz, and Giancarlo. We found a California taqueria!

Our Geave clients: Jimmy, Luiz, and Giancarlo. We found a California taqueria!

Week 1:

After a nine hour overnight bus (which was surprisingly quite pleasant), we found ourselves in Santa Fé do Sol, the heart of Brazil’s burgeoning tilapia industry at the westernmost point of São Paulo State. We visited fish farms, fish genetics establishments, feed plants, and facilities that processed over 15 tons of live tilapia per day. During our three-day visit, we had the opportunity to gather vast data about customer pain points, farming and slaughter processes, and vendor relationships. We also went on a lot of boat rides around the fish cages, observing feeding, vaccination, grading, and harvesting processes. Some of us were disappointed that there were no anaconda sightings. Others were okay with it.

Alexis observes fish eggs hatching in a genetics nursery

Alexis observes fish eggs hatching in a genetics nursery

The team visits a fish farm in Santa Fe do Sul

The team visits a fish farm in Santa Fe do Sul

Collecting juvenile fish to put in the river cages is a time-intensive process

Collecting juvenile fish to put in the river cages is a time-intensive process

Bringing a new meaning to "farm to table": we observed the fish from hatchey to slaughterhouse at Zippy Alimentos, then ate them in fried form later  that evening

Bringing a new meaning to “farm to table”: we observed the fish from hatchery to slaughterhouse at Zippy Alimentos, then ate them in fried form later that evening

Week 2:

After documenting, discussing, and analyzing some of our Week 1 observations, we spent two days in Pirassununga and Franca, where we visited a larger aquaculture company and met with one of Geave’s software partners. During the partner meeting, we conducted a design thinking session to brainstorm the types of hardware/software products to bring to market. Should they target the handful of larger players that are vertically integrated to cover the entire value chain, or focus on the more numerous but lower-budget small-to-medium players?  Should they create technology solutions for fish processing, or design for the fragmented and less sophisticated fish farming industry? What customer pain points should the hardware/software solution address? What would customers be willing or able to pay? Our half-day session generated insights that allowed us to draft a target product portfolio addressing the burgeoning fish farming industry.

gea10

Conducting a design thinking session with Geave’s software partner

 

gea11

Celebratory photo op with our clients and their partners

Celebratory photo op with our clients and their partners

Another day, another fish farm. The view ain't bad...

Another day, another fish farm. The view ain’t bad…

Week 3:

In our last week, we synthesized all of the data points we had gathered and worked to build a business plan for Geave. We brought together all of our stateside background research, customer interviews and observations, and output from our design thinking sessions. Using our toolkit of strategy frameworks, we developed a concrete recommendation on who (small to medium fish farmers), what (solutions to reduce Feed costs and automate the Feeding process — leaving the stunner for later) and where (start with the Santa Fé do Sul area) Geave should focus their market entry. After a successful presentation to our client, Luiz even countered with a response presentation, animating how we destroyed his dreams of producing fish stunning equipment in the short-term, but that our recommendations would allow Geave to pursue an alternative, more strategic direction.

Wrap-Up

Our trip wasn’t all fried fish skins, rubber boots, and long hours at the office. We managed to sneak away to Rio de Janeiro for a weekend with Team Sony to get a taste of the Brazilian beach lifestyle. We ate feijoada, visited Christ the Redeemer, pretended to be locals on Ipanema Beach, and sampled all of the caipirinhas and blended juice.

Teams Geave and Sony enjoy the sunset at Ipanema Beach

Teams Geave and Sony enjoy the sunset at Ipanema Beach

After three weeks in Brazil, we feel we have seen a side of this country we would have never imagined if we simply visited as tourists. Geave and the people of Brazil made us feel so welcome and we feel so lucky to have had this experience. Thankfully our Brazilian visas are valid for the next ten years, so we will definitely be back. Rio Olympics 2016?

Praying for a swift return to Brazil

Praying for a swift return to Brazil

Updates from EWMBA IBD – Team ProNaturaleza

Berkeley-Haas Part-Time MBA students Joe Bass, Mayhul Jain, Chidananda Khatua, and Hideaki Oshima participated in a summer IBD project in Peru with the nonprofit organization ProNaturaleza.

Quick background: Our project was about a nut that is grown on the Yarina Palm tree in the Amazon rainforest. The name of the nut is Tagua and it has an ivory like hard feeling to it; Tagua is commonly used to create jewelry.  The non-profit organization that we were working with, ProNaturaleza, was attempting to determine what new products could be created out of this nut to be sold to the US market and elsewhere eventually.

After taking a visit to Machu Picchu and checking out other sights in Peru, we were excited to start the project! To learn more about the plant, the people and the infrastructure, the first week was spent in Iquitos, the gateway town to the Peruvian Amazonian Basin. It began with a chance encounter with Lisa Ling at the Iquitos airport who was working on a documentary on local hallucinogens – we think!

IMG_0784Joe, Chida and Hideaki at Machu Picchu

IMG_20140708_123617Joe’s hand, Hideaki, Chida, and Mayhul with Lisa Ling

In Iquitos, a town connected to the outside world only by river or air, we were able to visit a factory that processes Tagua nuts into buttons but was currently shut down due to unmet financial commitments.  We then visited the drying plant to learn how these nuts were dried – turns out it’s the old school method of a big cement slab and baking sun.  Perspectives are different everywhere and this was true on our factory visit as well.

DSC_0132Tagua Nut factory in Iquitos

However, the most interesting part of the Amazon visit was a trip to Pacaya Samiria National Reserve, one of the largest reserves in South America.  The trip to the national reserve consisted of a two hour bus ride and then a three hour canoe ride to the ~150 person village of Viente de Enero.  Though there was no running water and no steady electricity in this village in the middle of the rainforest, we were able to watch the World Cup semifinal match between Argentina and Netherlands in a local person’s hut thanks to his generator – the man had his priorities straight!

In meeting the locals and seeing their homes, it was evident that this was a simple life with chickens running around and huts constructed primarily of straw and natural materials.  In the evening, the kids would play football and the community would hang out; the village even had their hut version of a discoteca, which would play music till 6am in the morning.  Their entire livelihood consisted of picking Aguaje and Tagua from palm trees and fishing in the local waters, and selling these raw materials to the larger towns down river.

IMG_1065At Veinte de Enero Village

DSC_0194With the locals at Veinte de Enero, Pacaya Samiria National Reserve

DSC_0238The school had no running power, but they did have laptops for their students- that was great to see!

The next morning we went on a short jungle walk to see how the Tagua nut was harvested. With machete in hand, our local guide led us on another canoe ride within the Reserve where we were able to walk around the dense and beautiful jungle. Lesson learned – New Balance tennis shoes don’t do the job for jungle walks!  Especially when the guide tells you that there are four types of venomous snakes in the area where the Tagua nut is harvested. This put things in perspective though – for these local villagers to even make a few bucks requires putting their lives at risk everyday. We heard multiple stories of being bitten by snakes.

DSC_0202

DSC_0205Harvesting the Tagua Nut with our local guide Carmelo

After returning to Iquitos, we were able to kiss a pink river dolphin and feed Amazon manatees at a rescue center.  We also visited a local market where people from across the Amazon visit in an attempt to search for organic glue, which we were able to eventually find. While looking for this glue, we also saw both legal meat as well as illegal meat (spider monkey, turtles, tapirs, sloths) for sale, which speaks volumes about the tough job that law enforcement has protecting the local species.

In embracing the Berkeley-Haas Defining Principle of “Student Always,” we not only learned about the Peruvian Amazonian people and the Tagua nut, but also came to the realization that the Amazon basin has an incredible amount of sustainable economic potential – be it through eco-tourism, harvesting fruits or nuts, or fishing.  The next step is to just unlock it!