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Shane Parrish

๐Ÿ‘ค Speaker
15908 total appearances

Appearances Over Time

Podcast Appearances

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

The playbook worked because there was no established competition to fight.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

America was the opposite.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

It was home to the original fast food chains and to large, well-funded frozen food companies that had been in business for decades.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

For the first time, Harrison would be fighting for ground somebody else already had, and those companies were not going to roll over.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

He had a phrase for entering foreign markets, drink the local wine, which means studying local conditions, hiring local talent, observing and listening before you prescribe an act.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

It had worked brilliantly everywhere.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

But there was a problem.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

The United States wasn't one market.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

It was a collection of regional markets, each with its own tastes, its own distribution networks, and its own entrenched players.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

This would be trench warfare.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

They started small and close to home.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

In 1975, they bought a plant in Maine, then another the following year.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

Both were within driving distance of Florenceville.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

The big American producers were all out West, so McCain could take the Northeast, sell private label to supermarket chains and benefit from lower shipping costs.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

By 1981, American sales had nearly doubled to 27 million.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

That sounds decent until you look at the ratio.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

It was less than 4% of global sales.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

Eight years later, the US still accounted for just 17% of global revenue.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

Harrison knew that he could not be the largest frozen French fry producer in the world without a real foothold in America.

The Knowledge Project
[Outliers] Harrison McCain: How to Create Demand for Something Nobody Wants

The biggest single door in that market was McDonald's.