―My Peer― Hints for Idea Generation: The Case of New Ventures from 0 to 1 (Part 2)

Following our previous session, we present another conversation between Takashi Takagi, an executive at Raksul Inc. who has spearheaded numerous business development initiatives, and Aaron Zu, Creative Planner for New Business at Dentsu Inc.

This conversation, held to commemorate the publication of Aaron's new book , Think in Diagrams! (Cross Media Publishing), explored the mechanisms behind Rakusuru's continuous creation of new ventures and discussed the secrets to realizing intrapreneurship.

Why does Rakusuru keep launching new businesses?

Aaron: Does Rakusuru also have an environment or system that makes it easy to take on challenges?

Takagi: There are several. First, we have the "Project System," where anyone can propose a business they want to pursue.

We provide initial funding when a project launches, and while we hold quarterly review meetings, we fundamentally take a hands-off approach, leaving the project owner in full control. If committed milestones are achieved, additional funding is provided. Projects that fail to meet milestones are closed at that point.

Additionally, for new ventures, we create a separate "incubation department" to isolate them from core operations.

At that stage, we deliberately avoid placing too much emphasis on synergies with existing businesses. While synergies are important, overemphasizing them inevitably leads to turf wars and resource battles—we've seen this happen time and again. So, we separate communication and budgets, creating a dedicated space for these new ventures to get started.

Having management sponsor these islands is also an absolutely essential condition for launching new ventures internally. Conversely, excessive internal consultation often yields poor ideas.

Aaron: I agree with Takashiro-san that internal consultations aren't that necessary. That's because judging the merits of truly innovative ideas that could transform an industry is extremely difficult in itself.

For example, Airbnb—a platform connecting hosts wanting to rent out spare rooms with guests seeking accommodations—might have been killed if someone working at a hotel had pitched such a business to their boss. They might have been told, "Are you trying to destroy the hotel industry?" In hindsight, that would have squandered the chance to become one of the market's two powerful giants. Excessive consultation and discussion are unnecessary for new ventures.

What makes Rakusuru remarkable is its ambition to create businesses that fundamentally transform industry structures. I firmly believe this company is destined for absolute growth.

Takagi: In our company, the premise is that what the new business owner says is "right," not the president or executives.

Of course, management makes the final call on continuing milestones, but all decisions within the business—marketing strategy, product development—are left entirely to the new venture owner. Since the owner is the one most directly engaged with the industry and customers, it's crucial to build meeting and decision-making systems that embody that respect.

As companies grow larger, they tend to neglect this aspect. Without approval from superiors or executives, many things stall. But superiors and executives aren't necessarily experts on the front lines, right?

Aaron: The larger the company, the more it tends to focus on cannibalization and make conservative management decisions. But ideas that seem crazy at first glance are, at the very least, not conservative.

It's incredibly difficult to judge whether an idea is truly crazy or just appears crazy but is actually good. That's why I believe it's best to give new ventures a certain degree of freedom.

Ultimately, it comes down to whether they can generate a profit. As long as they surpass the break-even point, that's what matters. But you won't know until you try.

Takagi: It's also problematic that new ventures are often launched out of desperation. Companies try to start new businesses when they're in a situation where success is absolutely mandatory. This leads to decision-making and operations aimed at a 100% success rate, even though the success rate for new ventures should be around 30%. Therefore, you should start them much earlier, when you're not yet desperate, ideally when you're most profitable.

How we grew through new ventures

Takagi: Starting new ventures has changed me in two major ways.

First, I could visibly see society changing because of my actions.

Walking through my local shopping district, I started seeing flyers and posters made with Rakusuru. Seeing those flyers, posters, and banners made me truly feel how my actions were transforming the shops.

Seeing so many shops using Rakusuru products makes me marvel at how much society has changed in just seven years. And simply knowing I'm involved in something meaningful, rather than just getting paid to complete tasks, feels like an enormous personal return.

Another thing is that I've developed an understanding of " trade-on " (creating value that transcends the binary opposition of trade-offs, allowing both sides to coexist).

When running a new business, you often face binary choices: Should we spend money on marketing or hire people? Should we push marketing now or focus on the supply chain? I struggled with these decisions frequently. But as the business grows, you realize you must achieve both within 3-5 years. Extend the timeframe, and everything becomes a trade-on.

Even in daily life, we face many choices, but I've gained the perspective that, viewed over the long term, they are trade-offs. This mindset enriches my life. While I still feel urgency at times, the sense of pressure and stress I place on myself has diminished.

Ultimately, by extending the time horizon, I can do everything I want to do. This has given me a broader perspective: not every decision is a binary choice of 0 or 1.

Aaron: Exactly. Starting a new venture, leaving something tangible behind, boosting motivation. This kind of motivation is absolutely essential for sustaining creativity. And another crucial element is the ability to lay the groundwork.

If you can do the groundwork yourself, great. If not, I recommend relying on the company's heavyweights. They understand the internal business best.

A business professor once said, "The lobbyist and the smooth operator are the ones who succeed at new ventures," and I think that's spot on. You need two things: young people who are motivated to take on challenges and run around trying new things, and veterans who can properly lay the groundwork and support those young people's challenges. When you have both of those conditions, creativity can flourish.

Takagi: Speaking of motivation, when assigning business owners, I make it a rule to assign " high-energy life forms."

There are people who can work hard when given tasks by others, and people who can self-motivate intrinsically. I believe new ventures should be led by those who can self-motivate.

Because a business is something you build yourself; it's not something handed to you from outside. When you're running a new venture, you face a lot of uncertainty and stressful, painful situations. In those moments, people who can see the events right in front of them as the result of their own choices absolutely have the aptitude.

Therefore, the most ideal owner of a new venture is someone who burns with their own fire, like the sun. People who only act when told by the company will absolutely fail, so this is extremely important.

Aaron: Dentsu Inc. has eight behavioral guidelines called " THE 8 WAYS." When asked internally, "Which one do you like best, Aaron?", I chose " WE ALL LEAD" (There is no rank called leader. The person who comes up with the idea, the person who sees it through, is called the leader).

A senior colleague once told me, " Creative Director (CD) is not a rank, but a role." Meaning, regardless of age or position, if you have the ability to lead a project, you are a CD.

My work involves frequent conversations with corporate and organizational leaders, creating many opportunities to expand businesses based on creative design. What I've observed is that growing organizations share a common trait: they trust their members, even when assigning responsibilities beyond their current capabilities. This approach sustains motivation and maximizes organizational strength. The role of leader itself cultivates the individual.

I absolutely love people who embody the "WE ALL LEAD" philosophy as "high-energy life forms."

Even if you're just pretending to know, just give it a shot.

Aaron: When tackling new ventures or challenges, some people dislike appearing to know more than they do. But I believe everyone starts by pretending to know. Many startup founders began by pretending to know, and they succeeded.

So, I think it's truly a waste to avoid challenges just because you're worried about pretending to know. Even if you've only read three books on the subject, if you have a strong conviction, I want you to challenge yourself without fear.

Takagi: Adopting that stance is crucial, right? Once you decide on your stance from the start, all that's left is to work hard to make that stance the right one.

Aaron: Once you take a stance, you feel awkward unless you prove it right, so you have no choice but to work hard to deliver results.

In some countries, there's a saying: "Achieve greatness or become a ghost." Essentially, it means either succeed or be disliked by those in power and get punished – a terrifying implication. In Japan, even if you fail, it's at worst a matter of "achieving greatness or becoming an ordinary person." That's why I think you should challenge yourself.

Takagi: I agree. Even if you strike out, as long as you keep stepping up to the plate, you get to swing the bat again and again.

Aaron: Exactly. I want to tell businesspeople stuck in a rut at their companies, "Go for the underdog victory!" (laughs).

I wrote this article, " Think Your Ideas in Diagrams! ", hoping it would be a catalyst for people stuck in passive work modes to shift toward active engagement. You can transform any job from passive to active.

If reading this article inspires you to start a new venture, I highly recommend reading "Think in Diagrams!"

Thank you for today.

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