4. VALUE INNOVATION : The cornerstone of
BLUE OCEAN strategy.
• Value –Innovation is a new way of thinking about executing strategy that
results in the creation of a blue ocean & a break from the competition .
•The Value – Cost : it is believed that enterprises can either create greater
value to customers at a higher cost or create reasonable value at a lower cost.
8. THE FOUR ACTIONS FRAMEWORK
We have developed the four actions framework
to break the trade-off between differentiation &
low cost & to create a new value curve.
so, we should answer four key questions :
•Which of the factors that the industry takes for granted should
be ELIMINATED?
•Which factors should be REDUCED well below the industry’s
standard?
•Which factors should be RAISED well above the industry’s
standard?
•Which factors should be CREATED that the industry never
offered?