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Welcome back

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In this session,

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we will talk about the design thinking methodology

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Design thinking methodology

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is another very famous method in startup area

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These days, so many people
talk about design thinking methodology

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For example, in my school, Hanyang University,

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there are undergraduate course, graduate course

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as a semester course for design thinking method

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So, before we start,

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let's listen to a short interview

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with the person who introduced this concept

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Let's watch it together

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How was that?

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Do you understand the brief concept
of design method?

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People in this interview is David Kelly

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David Kelly has been recognized as

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one of the leading design thinking initiator

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In 2020, he received a very good award from

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National Academy of Engineering
for design thinking method

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to educate innovative engineers

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with empathy and create confidence
to generate high-impact solution

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This is design thinking method

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What is it?

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Design thinking method is basically

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We want to apply the way designers think

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to your startup area

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We want to apply the way how they think,

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how designers behave,

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to your problems

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It's especially very powerful

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when we apply this concept to startup case

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Design thinking is a mindset
and method of designers

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when they apply their concept to the innovation

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We don't know how designers work

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How designers think,
how designers behave

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So, designer thinking allow us to understand

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how designers think, how they work,
and how they behave

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If we apply the way how they did

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to your area of business,

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it would be very helpful and powerful

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You need to think like designers

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What do we mean by that?

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You observe users, you identify their needs,

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and you test early with real people

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This is how we think like designers

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Designers usually start with empathy,

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explore multiple ideas, prototype rapidly,

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test, and iterate

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This is how designers think, act, behave

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Again, designers start with empathy,

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explore many ideas,

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prototype rapidly,

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test and iterate

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Look at the picture

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This is actual process
how designers think and act

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Again, designers start with empathy,

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and they define the consumer's problem

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Then later, they try to come up with solution

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Then, they prepare for the prototype,

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and with this prototype,
they go to the market

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and test this prototype to real consumers

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And of course, they receive
the feedback from the real consumers

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If there's something wrong,

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they will revise the prototype and ideas

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They do it again and again

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This whole process is very similar to
Lean Startup process

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I think these two concept are

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somewhat duplicated

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What about empathy?

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Empathy is

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ability to understand

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and share the feeling of other people

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You try to understand other people's feeling

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Such as

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Consumers can feel joy, anger, sorrow,

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hope, pain, stress, frustrated and so on

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There are a lot of feeling

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You need to try to understand
consumer's feeling in this situation

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This is a starting point of design thinking

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From now on

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I'll introduce several real startup

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that applied design thinking methodology
into their startup development

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Look at this pictures

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Airbnb, Embrace, Duolingo, and Toss

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Let's start with Airbnb

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You know the initial idea of Airbnb, right?

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Because it's very famous

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Airbnb is the great example of
design thinking methodology

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Why?

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Because the founders are designers actually

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They met at the design school in NY

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So, what they did
is the textbook example of

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how design thinking method
can be applied to startup situation

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After Brian and Joe Gebbia

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went to Y Combinator,

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they flew to the NY to attract the host

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Over there, they started with empathy

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Do you remember what empathy is?

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Empathy is ability to share feeling together

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Basically, they shared the feeling of the host

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What is the problem and their feeling?

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Over there,

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host prepared for
good looking condition room,

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but they don't attract many travelers
than they expected

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They don't know 
why people aren't booking

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So, Brian and Joe shared
the feeling of the host,

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feeling frustrated

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They recognized this feeling

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and shared this feeling together

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They tried to define the real problem after

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What caused the feeling for the host?

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The real problem was,

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photos

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At that time, there were no high-quality photos

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So, they decided to take
a professional photography,

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introduce this photo

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and upload this photo on the website

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to attract many consumers

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Then, later, what happened?

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The good photo worked really great

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Later, problem was solved

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This is the starting point of Airbnb

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Anyway, we know how
Airbnb used design thinking method

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to solve the problems

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Look at this picture

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Brian gave a special lecture

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at Stanford University

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He explained very well about

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designer's mindset

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You can get great lesson from his lecture

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Let's look at it together

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How was it?

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How about his idea?

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It's very helpful for you, right?

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You'll understand how you
apply design thinking method

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to your startup situation

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Let's look at another example

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Again, design thinking start with empathy

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Imagine that

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your baby was born

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But she is premature and low birth weight

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than average

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Then, you need to put her into incubator

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Incubator is a special device
for premature baby at the hospital

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But the real problem was

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you cannot afford to it

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Then how do you feel?

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How do you feel?

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What should we do?

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In this case, what we really need

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is low-cost alternatives

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Is there any low-cost alternatives?

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What should we do?

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It is really urgent

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She might die

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What are you going to do?

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One of the Indian healthcare company

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shared this feeling together with parents

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Then, this company came up with a solution
based on empathy

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The company created
a low-cost infant warmers

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Like a sleeping bag

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But this sleeping bag has a

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specialized function to protect immature babies

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It cost how much?
$200

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Which is just 1% of traditional incubator

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So, the problems were solved

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What do you think?

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This is power of design thinking

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You start with empathy
with your potential consumers,

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then, you try to come up with solution for them

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Then, you prepare your prototype

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and introduce it to consumers

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and receive the feedback

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and you revise your prototype again and again

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This is process of design thinking

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Next case is Duolingo

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Have you heard about Duolingo?

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Look at the picture

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It looks cute, right?

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Actually, Duolingo is
a foreign language learning application

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Duolingo is so popular out there

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Duolingo started with

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professor at Carnegie Mellon University

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and his graduate student

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When you try to learn foreign language

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What happen?

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You feel the same, right?

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It is not easy to learn foreign language

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It is difficult

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And sometimes, you feel frustrated

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So, probably, you quit

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learning new language very quickly within weeks

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I will tell you my story

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I really wanted to learn Japanese

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Because I want to travel Tokyo sometimes

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and I would like to speak Japanese

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I feel uncomfortable

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when I didn't understand Japanese language

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when I was in Tokyo

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So, I tried to learn Japanese

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But I gave up quickly

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Because I feel not urgent

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Learning Japanese is not my priority

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Because I'm busy to do something else

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Also, I felt frustrated

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because it was a bit difficult

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Probably, you share my feeling together

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Duolingo started with my feeling together

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They thought carefully,
what is real problem?

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Then, Duolingo made learning

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foreign language like a game

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You do not want to stop playing

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To be honest with you,
for preparing this class,

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I tried to use Duolingo a week ago

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Then I found it is true

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It's like a game

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I started learning Japanese

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through the Duolingo application

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Although no one pushed me,

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I found myself studying Japanese

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when I take a subway

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It's like a magic

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because it's so fun

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It's like a game

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I cannot stop playing

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So, what happen now?

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I can speak Japanese a little bit
with just one week try

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Learning one week, I can speak Japanese

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For example, "hontoni",

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"kakkoii desu",

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"sushi kudasai",

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"Minasan konnichiwa"

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You see?
With just one week trial

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This is the power of

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design thinking

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Through the design thinking process,

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Duolingo made learning foreign language fun

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It all started from empathy

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Let's move on to another startup case

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This startup case is Korean company

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Founder of this company, Toss,

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is dentist

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He graduated from Seoul National University

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And he is a dentist

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While he was working as a dentist,

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he wanted to start his own company
all the time

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So, he tried many times

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After several attempt and several failure,

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he finally came up with
very interesting business,

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which is P2P money transfer service

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He followed the design thinking method

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Basically, he started with
consumer's uncomfortable feeling

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when they try to send their money to somebody else

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Before his service, what happened?

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Consumers choose the banking application

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and memorize some OTP and passwords

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Also, enter multiple

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identification steps

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Many times, consumers can face some crashes

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Toss started this feeling together

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and tried to find out the solution

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Finally, they came up with
one click transfer system

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Removing any annoying steps

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Also, it is mobile, no login needed,
and user-friendly interface

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So, Toss, also made the UI extremely clean

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with minimal steps

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and eliminating frictions

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Also, Toss added up

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game element

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Such as point scores and others

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Then what happened?

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Toss became the unicorn company in Korea

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Anyway, this is the power of design thinking

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Again, you apply the way

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designers think and behave into your startup case

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It will be helpful and beneficial