| If there were an Entrepreneur's Hall of Fame, Wayne | | | | Wall Street. Mr. Huizenga had replicated the success |
| Huizenga would be a charter member. Most people | | | | of Waste Management in a completely different |
| recognize the Wayne Huizenga as being the former | | | | industry. While Blockbuster was at its apex, he sold |
| owner of the Florida Marlins baseball team, and the | | | | the business to Viacom. Hauling garbage is a highly |
| current owner of the National Football League's Miami | | | | needed, but largely unappreciated service. Renting |
| Dolphins. These are the types of gaudy baubles a | | | | movies is a service that is less important, but much |
| billionaire entrepreneur collects. However, his success | | | | more desired by the public. The same business model |
| came from the most elemental business: trash | | | | worked perfectly in two totally opposite areas of |
| hauling.Mr. Huizenga started as a small time cartage | | | | opportunity.Blockbuster Video and Waste |
| operator for a waste disposal firm in south Florida. He | | | | Management made Wayne Huizenga one of the |
| worked his way into sales and ultimately bought a | | | | most recognizable and successful entrepreneurs of |
| small firm. In the 1960's waste disposal was a local, | | | | the 20th century. Most people with but a small slice |
| independent, mom and pop type of business in the | | | | of this type of achievement would be completely |
| United States as well as in most industrialized | | | | satisfied and content. Not so with Wayne |
| countries. There was no scale. Each trash removal | | | | Huizenga!Seeking another fragmented industry, where |
| firm worked on contracts negotiated with local | | | | the opportunity to roll-up local and regional outlets |
| governments. There was always the fear of political | | | | would enable repetition of the Blockbuster Video and |
| winds changing and effecting a contractors future | | | | Waste Management successes lead Mr. Huizenga to |
| status.From his perspective as a small time operator | | | | the world of used car sales and marketing. He |
| in a highly fragmented industry, Wayne Huizenga | | | | immediately recognized the same dysfunctional |
| knew that he needed a safety net, not wanting to | | | | market forces, absence of scalability and pricing |
| be tied to a sole municipality for his firm's sustenance. | | | | inefficiencies so readily apparent in the video rental |
| His idea was elegantly simple: he would build a national | | | | and garbage hauling business.During the 1990's auto |
| firm, with appropriate leverage and economies of | | | | leasing became wildly popular. These cars are leased |
| scale, by buying up key independent garbage hauling | | | | for a set term, typically returned with average or |
| firms in strategically important markets. This would | | | | below average miles and dealer maintained. The |
| provide the strength to expand in every secondary | | | | problem for the automobile industry was, and is, the |
| market and standardize this formerly sclerotic | | | | inventory glut that occurs as leased cars are |
| industry.This idea evolved into Waste Management. | | | | returned. This created a unique opportunity for |
| Mr. Huizenga became a billionaire when his firm, after | | | | Wayne Huizenga and his favorite business model.He |
| ascending to the number one spot as an international | | | | launched Auto Nation with a public sale of equity on |
| garbage-hauling firm, with contracts spanning the | | | | the New York Stock Exchange. Today, Auto Nation |
| United States, Europe and Asia, was listed on the | | | | is the largest seller of late model used cars in the |
| New York Stock Exchange. The simple idea of | | | | world. Inventory is vast, offering virtually every |
| consolidating hundreds of independent firms under | | | | popular model in great depth and variety. The scale |
| one roof and standardizing the service menu was a | | | | and national reach of Auto Nation, enables pricing to |
| thoroughly disruptive new business model. Former | | | | be very sharp, almost always significantly lower than |
| owners for these independent businesses were | | | | local dealers. In addition, all prices are non-negotiable |
| induced to sell by offers of stock, options and | | | | and fixed, eliminating one of the major negatives to |
| management contracts.With a billion dollars in hand, | | | | purchasing a car, haggling over price.Three times, in |
| Mr. Huizenga could have retired and collected art, | | | | three totally differing industries, Wayne Huizenga has |
| cars, coins or stamps. He could have hung out with | | | | applied a uniquely disruptive business model that has |
| the idle rich. Instead, he applied the business model | | | | streamlined sluggish, non-dynamic business categories. |
| that created Waste Management to a completely | | | | He started very small. He thought very big. This is a |
| different business category: home entertainment. In | | | | perfect template for every prospective entrepreneur |
| the 1970's, with the market introduction of first | | | | to study and utilize. A version of this strategy is |
| beta-max, and subsequently VHS technology, and | | | | often customized and applied to industry specific |
| then the rapid descent of retail pricing for home | | | | opportunities. This can be performed on a local, |
| video players, thousands of independent retail stores | | | | regional, national or international basis.Entrepreneurial |
| popped up offering video for rent. The ability to rent | | | | business models come in unlimited varieties. There is |
| a popular movie tape and play it when desired in the | | | | no single, linear textbook approach that fits |
| comfort of one's home, was a huge change in | | | | unilaterally for every project. The entrepreneur that |
| behavior and in the method of delivering | | | | will customize a strategy offering beneficial disruptive |
| entertainment to the masses.Wayne Huizenga was | | | | features applicable to their product has the greatest |
| restless, looking for a new challenge and open to any | | | | potential for huge rewards. Innovate, create, and |
| opportunity that offered huge potential upside | | | | think outside of the box: the marketplace has an |
| rewards. He saw it in a small, but growing firm: | | | | unquenchable thirst for new, different, exciting |
| Blockbuster Video. Today, the consumer recognizes | | | | products and business models.Geoff Ficke has been a |
| the Blockbuster brand as a generic term for home | | | | serial entrepreneur for almost 50 years. As a small |
| entertainment. 25 years ago, Blockbuster was one of | | | | boy, earning his spending money doing odd jobs in |
| a handful of movie rental chains, several sold | | | | the neighborhood, he learned the value of selling |
| franchises to fuel growth, all were regional, struggling | | | | himself, offering service and value for money.After |
| for capital to fund expansion, and competing against | | | | putting himself through the University of Kentucky |
| locally owned stores. The same fragmented industry | | | | (B.A. Broadcast Journalism, 1969) and serving in the |
| distribution channels that existed in the garbage | | | | United States Marine Corp, Mr. Ficke commenced a |
| removal business were immediately obvious to | | | | career in the cosmetic industry. After rising to |
| Wayne Huizenga. He pounced.After purchasing | | | | National Sales Manager for Vidal Sassoon Hair Care at |
| Blockbuster Video, Mr. Huizenga began the same | | | | age 28, he then launched a number of ventures, |
| type of assimilation program he pursued with Waste | | | | including Rubigo Cosmetics, Parfums Pierre Wulff |
| Management. Small, local video rental chains were | | | | Paris, Le Bain Couture and Fashion Fragrance.Mr. Ficke |
| purchased. The Company was listed on the New | | | | and his consulting firm, Duquesa Marketing, Inc. ( has |
| York Stock Exchange and the funds raised fueled a | | | | assisted businesses large and small, domestic and |
| rapid expansion. The leverage and muscle that | | | | international, entrepreneurs, inventors and students in |
| Blockbuster gained was utilized in purchasing product | | | | new product development, capital formation, licensing, |
| from the major Hollywood studios at more favorable | | | | marketing, sales and business plans and successful |
| terms than any competitor could negotiate. Small | | | | implementation of his customized strategies. He is a |
| locally owned stores could not compete and | | | | Senior Fellow at the Page Center for Entrepreneurial |
| thousands closed, creating more expansion | | | | Studies, Business School, Miami University, Oxford, |
| opportunities for Blockbuster.Blockbuster Video | | | | Ohio. |
| became a growth company with a huge following on | | | | |