Blue Ocean Strategy Tools Analysis

Blue Ocean Strategy Tools Analysis
Real–world Business Analysis:
Blue Ocean Strategy Tools Analysis Paper
MMBA–6570 Business Strategy for a Competitive Advantage
Dr. Schulz
Stephenie Wegmann
April 15, 2013
Introduction
The purpose of the blue ocean strategy is to focus on making the business itself better without focusing on the competition. Kim and Mauborgne (2005)
state that "blue ocean strategy challenges companies to break out of the red ocean of bloody competition by creating uncontested market space that
makes the competition irrelevant" (p. x). There are several analytical tools that have been created to challenge companies to become part of the blue
ocean.
Reconstructing market boundaries to break from the competition is the first principle of the blue ... Show more content on Helpwriting.net ...
Companies have to apply the six paths framework to their current business strategy. They must systematically look across these concepts by considering
alternative industries, strategic groups, buyer groups, complementary and product service offerings, functional–emotional orientation of an industry
and time (Kim & Mauborgne, 2005). While taking this systematic approach, companies can focus on the four actions framework to determine the
aspects that can be eliminated, reduced, raised or created. Companies can also integrate the strategy canvas and target noncustomers by creating
products that sets them apart from competitors and brings them to be recognized as alternatives versus substitutes.
In order to build blue oceans, it is crucial for companies to get the strategic sequence right. According to Kim & Mauborgne (2005), "companies
need to build their blue ocean strategy in the sequence of buyer utility, price, cost, and adoption" (p. 117). The starting point is to determine if the
company has an exceptional utility; second, the company needs to set a strategic price that the customer can afford; third, the company must set a cost
to still earn a profit; lastly, the company must address adoption hurdles (Kim & Mauborgne, 2005). These four factors of the blue ocean strategy
can assist in attracting the mass of the target buyer.
Testing for exceptional utility can be done with

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Blue Ocean Strategy Paper
HCAD 790: Practitioner Application 2
Jennifer Chaix
J16006447
September 12, 2017
Turning Today's Bloody Healthcare Market Blue
When discussing healthcare, "blue" and "red" are adjectives typically associated with the color of a patient's veins and blood. However, from the
executive's point of view, these two adjectives mean something completely different. In the healthcare field, there are two market strategies: red ocean
strategy and blue ocean strategy. "Red Oceans" represent the pre–identified market place which is comprised of all the types of businesses which are
actively participating in the industry day. In contrast, "Blue Oceans" represent the unknown market place, i.e. all the types of businesses not actively
participating and/or existing ... Show more content on Helpwriting.net ...
Value Innovation is accomplished by creating exceptional value for the customer while, simultaneously, creating high profits for the company
(Pritchett, 2014). At its core, the true goal of The Affordable Care Act is value innovation; lowering the cost of healthcare and improving patient
outcomes. It is through compliance with these measures that health care providers will realize high profits. The ACA creates significant barriers for
small practices and those who are not willing to comply with meaningful use measures. Although the healthcare industry is considerably a red ocean, a
blue ocean is attainable. Overcoming the red ocean of healthcare requires one to become more than just a health care provider. Through the efforts of
physician collaboration, electronic health record system interconnectivity, and establishment of health protocols that witness proven high outcomes,
Ochsner Physician Partners has successfully achieved the blue ocean strategy for the healthcare industry.
References
Deepali, M., & Swati, S. (2014, September). The Rise of Blue Ocean Strategy and Leadership. The International Journal of Business and Management,
pp. 248–253.
Kaplan, A., & Guest, B. (2012). Clinically Integrated Networks: Vision, Purpose and Development. Physician Executive, 38(2), 60–66.
Ochsner Physician Partners. (2017, September). Retrieved from https://www.ochsner.org/opp/about–ochsner–physician–partners/

Pritchett, G. (2014). What Color is Your Ocean?. Central European Business Review, 3(1), 56
–57.
Rosenbaum, S. (2011, January–February). The Patient Protection and Affordable Care Act: Implications for Public Health Policy and Practice. US
National Library of Medicine , pp.

Blue Ocean Strategy Essay
A Strategy is a plan of action designed to achieve a long term or overall aim (Oxford Dictionary)
A Concept in latin means 'something conceived' (Dictionary.com,).
The United Nations (UN) study which precluded this paper found that populations in the developed world are declining. For the vast majority of
businesses, this means they are going to be fighting for a smaller slice of the cake. Is it time that organisations start to look elsewhere to ensure that
they stay in business.
Is Blue Ocean Strategy (BOS) a comprehensive strategy or just a trend with little credence or evidence? Is BOS the answer to many businesses in their
hour of need?
This paper will look at BOS in more detail, where it came from and evidence of it working in practice. It will also look at real life scenarios and the
outcome of my own organisation when BOS was applied.
Part One
In 2004 Chan Kin and Renee Mauborgne wrote a book called Blue Ocean Strategy. Since then over three and half million have been sold
(blueoceanstratergy.com), it has been published in forty three languages and has been the best seller over five continents. The book has since been
updated (2015) with two extra chapters (HBR 2015) and a slant on which informs the reader of potential red ocean traps. Not only that, the authors
claim the book consults on one hundred and fifty strategic moves, spanning over one hundred years and across thirty industries.
Many successful business leaders have sought the solutions that BOS

Blue Ocean Strategy At France 's Insead Business School
Life is full of games, in which we always want to be the winner. Most of the time, to accomplish this, we are ready to do whatever it takes to win
without thinking how it effects others around us and this leads the game to get bloody and the players to be merciless. The same pattern of struggle
for winning and the sense of game is relevant in the business world. In their book Blue Ocean Strategy, W. Chan Kim and RenГ©e Mauborgne–
strategy professors at France's INSEAD business school, proved that in this sphere, games don't always have to be this bloody by conveying a world
where companies profit and grow in a competition free environment. Reading and discovering more than 150 business researches, Kim and
Mauborgne help us to discover the idea of this sphere, so called blue ocean, which became an essential in strategic business thinking. In this review,
we are going to summarize and analyze the strategies which Kim and Mauborgne conveys. Blue Ocean Strategy advocates that for a company to be
successful, creating and opening a new market space that no one has entered before is essential. In order to gain and to sustain the value–innovation,
every single corporate and business owner should create and discover contentious areas of the market that is ready to grow. This market place is
called the 'blue ocean ', a term that should be, but still is not, a keystone for the managers. The book accepts the fact that this strategy is not seen
applicable enough by saying "too risky

Blue Ocean Strategy
Blue Ocean Strategy – Term Paper Texas A&M University–Commerce MGT 528 Table of contents Introduction3 Identification of Critical Issues &
Analysis 3 Literature Review 4 Structuralist Views5 Reconstructionist Views8 Evaluation of Alternatives10 Pro's and Con's of Both Views 11
Business Model 13 Most Effective Strategy 14 Recommendations15 Conclusion 15 References 17 Appendices 20 Introduction Corporate Strategy is
an important part of the theory and practice of management. For top management, strategy is what a map or a compass is to a sailor on a ship; it is a
map for navigating the corporate ship... Show more content on Helpwriting.net ...
Inasmuch, the reconstructionist's entire theory rests upon the principle of value innovation which, according to Kim & Mauborgne (2005), is a matter
of creating powerful leaps in value for the firm and its buyers, rendering rivals obsolete and unleashing new demand. In direct support, Halligan (2006)
espouses, "The only way to beat the competition is to stop trying to beat the competition." Converse leanings rest with the structuralist's school of
thought which favors ferocious head–to–head competition. Structuralist Views According to Ormanidhi & Stringa (2008), how firms compete and what
strategies they choose are imperative questions for companies in every sector of the business world. Their writings state that improved understanding
of a firm's competitiveness would serve as input to improve policies concerning competition and related issues; and improved policies, will provide
valuable support to efforts to continuously develop markets and businesses. Within, the author's place significant emphasis on the concept of
competition with echoes from Porter's five forces model (see Appendix 6). The model illustrates the five forces, which hinge on the determinants of the
industry's overall competitiveness and profitability, which are: threat of new entry, intensity of rivalry among existing firms, pressure from substitute
products, bargaining power of buyers, and bargaining power of suppliers. Richard Randall

Key Imperatives Of Blue Ocean Strategy
To what extent did the growth strategy of the HKET Group follow the key 'imperatives' of a Blue Ocean Strategy? Explain and use examples from the
case to illustrate your points.
To answer this question, first of all we need to know what is Blue Ocean Strategy, how it works and what are the main points.
Blue Ocean Strategy – what is it?
Blue oceans are uncontested market spaces where the competition is irrelevant... you invent and capture new demand, and you offer customers a leap
in value while also streamlining your cost. Results? Handsome profits, speedy growth – and brand equity that lasts for decades while rivals scramble to
catch up (Mauborgne, 2007).
Blue ocean is not about technology innovation, you don`t have to venture into distant ... Show more content on Helpwriting.net ...
How was the growth strategy of the Hong Kong Economic Times Group?
In 1980s when the co–founders path crossed, Hong Kong`s economy was booming and opportunities for all trades and businesses were prevalent. The
colony was a magnet for international trade and manufacturing. Real gross domestic product (GDP) growth throughout the 1980s averaged 5.20%. It
was an opportune time for new businesses, and the HKET Group rode this wave of development (Farhoomand, 2007).
Create and capture new demand
HKET Group published their first paper in January 1988. At this time, their mission was to provide businessmen, executives, investors and
professionals with up–to –date and relevant news, market information as well as analysis. Their only competitor at the time of launch was Hong Kong
Economic Journal, which focused in economic and related news, and was noted for its editorials and commentaries.
HKET Group was more than that, they placed their product in a niche to offer business and financial information to the growing masses of employees
in the manufacturing, business and commercial

Overview of the Blue Ocean Strategy
Blue Ocean Strategy
Executive Summary These days all major global organizations are focusing towards the latest concept of Strategic Management, "The Blue Ocean
Strategy". This concept, which seems new, is actually hundreds of years old. It gives the idea of creating Blue Oceans by building a new market
space and making the competition irrelevant. This paper will discuss in detail the concept of Blue Ocean Strategy, its evolution, principles and its
practical application in the real world.
Table of Contents
Introduction.................................................................................04
Evolution of Blue Ocean Strategy.......................................................04
Blue Ocean Vs Red Ocean................................................................05
Six Principles of Blue Ocean Strategy...................................................06
Advantage of Blue Ocean Strategy.......................................................07
Blue Ocean Strategy A Dynamic Process.............................................08
Blue Ocean Creations......................................................................09
Blue Ocean Strategy Build Brands.......................................................10
Blue Oceans: Past, Present and Future...................................................11
Mini Case Study: Crocs Incorporation...................................................13
Introduction
Blue Ocean Strategy (BOS) is a new concept in strategic management, introduced by Professor W. Chan Kim and Renee Mauborgne in 2004. After
doing detailed research, Kim and Mouborgne found out that most of the companies rely on the market segmentation and price competition for
attracting customers. This results in increasing costs and decreasing rewards creating a Red Ocean where all competitors compete together. Therefore, in

Swot Analysis Of Blue Ocean Strategy
Introduction
I have done research on Mr Price clothing stores as a division and I will use the Blue Ocean strategy namely, a swot analysis, porter five force
model, integration of sales and other costs, the attached newspaper article as well as a quantitative risk assessment. It is through these factors in which
I will assess their already existing strategic plan and to think creatively to draft a viable strategic plan for the company's future and to also give
recommendations on how to improve.
Background of Mr Price Clothing Stores (Executive summary)
The launching and opening of the first Mr Price group store was in 1987 in Durban, Brickhill Road and within 3 years from when the first store was
opened, there was a total of 19 Mr Price Factory stores. At about 1991, their current CEO, McArthur was elected as the managing director of the chain
stores and his first marketing based decision was to focus on ... Show more content on Helpwriting.net ...
–Threat of substitutes:
To eliminate the threat of customers possibly opting for a product similar to what Mr Price offers, they need to monitor and differentiate their products
to be in alignment to what the customers want. For examples, a consumer may feel it is better to buy thing from one of their competitors as they have
similar products and items.
Comment on Porter five force model: According to the Porter five force model, rivalry is high, which means the competition environment is tough and
Mr Price is fighting for market share percentage as if all the rivals. They need to come up with creative ways to create an uncontested market share in
order to make their competition irrelevant.
PESTLE Analysis
–Political (Demographic)
They cater for all races (multiracial), both female and male people who are in their early teenage years right through to the age of 24. They target

mostly middle class income

Analysis Of Michael Porter 's Value Migration, And W. Chan...
Unit 1– Individual Project
Nicholas Dunlap
Colorado Technical University
There are a number of well know strategic planning models. Of these, I will explain in some detail three. Michael Porter's Five Forces, Adrian
Slywotzky's Value Migration, and W. Chan Kim and Renee Mauborgne'sBlue Ocean Strategy.
The first, Michael Porter's Five Forces, is based on Harvard Business School's professor Michael Porter's research, originally developed in 1979,
which states that business is about who is the most profitable, not necessarily, the biggest company. Porter states that there is five components to
profitability. These are the buyers, the suppliers, substitute products or services, new competitive entrants, and lastly, existing rivals. According to
Porter, these five segments define literally every business industry and are the key to creating a more profitable business. To break down each of
these segments a bit more, we will first look at the buyers. In most industries, buyers, or customers, simply want the best price and the best product.
The importance of the buyers is dependent on the number of buyers available, the individual importance of each, and the cost to obtain and maintain
these buyers, also known as customer acquisition and retention. If your business relies on a few very powerful buyers vs many smaller less powerful
buyers, than it would be reasonable to assume they would have much more control over how you would need to operate your

Analysis Of Kim And Mauborgne And Their Blue Ocean Strategy
Introduction:
In the early 21st century, the economic and social context became difficult; it is partly due to the economic crisis but also by the low consumption.
Many companies are struggling to find their place or event to remain sustainable. Faced to this global economic uncertainty and increased taxes that
effect revenues, the customers; me and you, prefer to save rather than consume. Furthermore, the household income allocated to consumption continues
to decline. In addition to that, this situation makes the consumers more volatile, looking just for the low cost or even a "good planВ». Meanwhile,
companies are also struggling to maintain the growth. So then they try to drastically cut costs or suggest different offers without an added value.
Based on this general assumption, the conventional models including porter's strategic management seem to have had their day. However, other theories
have been created to try to change and renew the components of market. This is the case of Kim and Mauborgne and their blue ocean strategy which
represented a revolution in the competitive market. This strategic paradigm is presented as a revolution! Its implementation will lead the company
adapted to success by creating new demand and avoiding competition. This strategy seems to be similar to a dream, do not worry! The dream is
overtaken by reality.
This report is a critical review of "Blue Ocean" strategy. It examines and explains both the blue ocean and porter's model as a

Blue Ocean Strategy
Blue ocean strategy
The maturity of an industry has brought a company swimming in a red ocean, which means price war strategy, according to a bestseller book titled
Blue Ocean Strategy that is written by W. Chan Kim and Renee Mauborgne. This situation influences the way a company evaluates its strategies and
effectiveness regularly. Each company has a particular business culture, which is suitable only for the company in a specific industry. This condition
may not be suitable when the industry changes or the company is acquired by another company at bigger size.
There are some conditions that influence how companies take care of competitive markets. They include strong corporate culture, employees learning
and development attitude, ... Show more content on Helpwriting.net ...
Battle between Gillette and Schick
The battle of one–upmanship between Gillette and Schick also happens in any other industry where few companies dominate a market of particular
products. The reason to perform the one–upmanship model is the company considers that their products have a particular lifetime, which raises the
need to improve or even change the design, features, and product benefits. This so–called product life cycle also help the company to manage product
in respond to some factors such as customers' demands, technological changes, amendments in regulation, and many others (Kotler, 2003; Internet
Center for Management and Business Administration, 2004).
In Gillette case, it is obvious that Gillette compete in the increasing number of blades with the competitor, Schick–Wilkinson Sword. This battle is
obvious as each entity strives for introducing new blades products such as Gillette's 3–bladed product, Mach3, which is responded by Schick 4–bladed
Quattro and later countered by Gillette 5–bladed Fusion (Cengage, 2011).
So, in Gillette case the battle of one–upmanship is still valid and effective as customers still value the product innovation of razor and blades as the way
of improved product benefits. Still, there is still a room for improvement for Gillette, considering that P&G has the most advanced and sensitive market
research

Compare And Contrast Red Ocean And Blue Ocean Strategy
What are the different features in Red Ocean and blue ocean strategies? Discuss five Blue Ocean Strategies for a Tea exporting company.
The blue ocean strategy is a new way of thinking and a new path to wining the future. It's about creating a new market instead of competing with
existing ones while keeping the costs low. Moreover, it enables us to concentrate on the creation of new markets via new offerings, with the aim being
to make the competition irrelevant so that an organization can grow.
The red ocean strategy is a strategy which is aims to fight and beat the competition. Red Oceans already contain a number of competitors and rivals to
grab a greater share of existing demand. Red ocean can differentiate from Blue Ocean in following ... Show more content on Helpwriting.net ...
Thus, UK people believe that inequalities amongst people should be minimized. So, it can be expected that UK management will treat estate workers
in equal manner.
When consider the second dimension called individualism vs collectivism, UK is a individualist country while Sri Lanka is collectivism country.
Accordingly, UK management teams normally take decision, but estate worker will not have any opportunity to involve in decision making. And also
their leadership style is more autocratic. UK management team will more self interest and competing to achieve goals as well as in conflict handling
the will be compete. Direct communication will be used with estate workers.
Then, UK is a Masculine country that people are powerful in decision making and more tendencies to have charismatic leader in UK management
team. Sri Lankan estate workers concerns, they are more like work with flexible leaders and they don't have experience in work with charismatic
leaders. So, it may cause to create conflict with management. Accordingly, if the management of a large tea estate is handed over to Unilever UK,
motivation factors may differ among Masculinity and Femininity culture. Then, management will try to motivate employees by giving material
rewards. But Sri Lankan estate workers are expecting Recognition or affiliation as they are

Blue Ocean Strategy At France's Insead Business School
Life is full of games, in which we always want to be the winner. Most of the time, to accomplish this, we are ready to do whatever it takes to win
without thinking how it effects others around us and this leads the game to get bloody and the players to be merciless. The same pattern of struggle
for winning and the sense of game is relevant in the business world. In their book Blue Ocean Strategy, W. Chan Kim and RenГ©e Mauborgne–
strategy professors at France's INSEAD business school, proved that in this sphere, games don't always have to be this bloody by conveying a world
where companies profit and grow in a competition free environment. Reading and discovering more than 150 business researches, Kim and Mauborgne
help us to discover the idea of this sphere, so called blue ocean, which became an essential in strategic business thinking. In this review, we are going to
summarize and analyze the strategies which Kim and Mauborgne conveys.
Blue Ocean Strategy advocates that for a company to be successful, creating and opening a new market space that no one has entered before is
essential. In order to gain and to sustain the value–innovation, every single corporate and business owner should create and discover contentious areas
of the market that is ready to grow. This market place is called the 'blue ocean ', a term that should be, but still is not, a keystone for the managers.
The book accepts the fact that this strategy is not seen applicable enough by saying "too risky

Blue Analysis : Blue Ocean Strategy
W.Chan Kim and Renee Maugborgne article "Blue Ocean Strategy" and Blue Ocean Strategy: From Theory to Practice challenges firms to distance
themselves from the fierce competition in the marketplace by utilizing Blue Ocean Strategy versus the dominantly used Red Ocean Strategy. Both
Blue and Red Oceans are distinctly different strategies, both logics are important to understand, and they both coexist. By understanding by the
underlying logic of both strategies companies will be able to make decisions on what strategy they will prefer to implement. The authors use the
colors Red Ocean (color of bloody water) and Blue Ocean (color of clear water) to visually represent the amount of competition in the market (water
represents the market).
The Red Ocean signifies the entire known market industry today that exists with formidable incumbents that have set the standards, are visible, and
accepted by the industry. The Red Ocean focuses on competing in the existing market space and everyone is fighting for the demand side of the
equation. The fundamental roots of the orthodox Red Ocean strategy along with company structure environment can be traced and mirror military
strategy and its organization. The color red in the Red Ocean is symbolic and is used to represent blood that occurs when two rival fight on the
battlefield, and are competing against one another to gain ground. This same Red Ocean metaphor can be easily understood in the business
environment. Rivals are trying to

Blue Ocean
Blue Ocean Strategy
Jaime Quintero
MKT/421
March 23, 2015
Salomon Chavira
Blue Ocean Strategy
While businesses are continuously looking for techniques in which they can better cope with their rivals, one theory recommends they would be better
off studying methods in which they are contending against no one but themselves. This is known as the blue ocean strategy.
Blue Ocean Blue Ocean Strategy is a recently established marketing concept obtained from the devises of W. Chan Kim and RenГ©e Mauborgne.
This term is used to describe instead of working in conditions, known as the red ocean, where companies are savagely hostile against each other for a
share of the marketplace, businesses should attempt to discover a means to work in a ... Show more content on Helpwriting.net ...
This is a positive aspect, since it stops one lone syndicate from dominating the market and drives other companies to generate more Blue Ocean
encounters, therefore bringing innovation. Alternatively it does a drawback, since this form of movement tries to simulate another product, the
superiority occasionally is deficient and as developments are relentlessly being made it proves challenging to remain current. These transitions are
remarkable for the economy nonetheless can be a monetary disadvantage to "everyday" working households who cannot afford the upgrades. Android
technology is Apple's chief rival. They have also aligned themselves with a number of cell phone providers to make their service readily available to
customers.
Conclusion
The Blue Ocean Strategy has exceptionally authoritative, exemplar changing theories that can be employed by any organization to start a sizeable
migration from the red ocean they have shared and begin to improve to a blue ocean overflowing with prosperity and accomplishment. It is apparent
that the Android and Apple has influenced the cell phone industry. Apple is an illustrious example of Blue Ocean tactics; whereas Android and the
Smart phone are a Red Ocean migration in the same industry. Although they began with the personal computer, Apple has been able to expand and
detach themselves from their competitors by offering a "wow" factor, announcing components and

Case Study Blue Ocean Strategy
5.Blue Ocean Strategy In the Blue Ocean, main would be to create an uncontested market space for Relaxo and make the competition, as observed in
Red Ocean, irrelevant. The effectiveness of strategy would be solely an outcome of Value Innovation and at the same time how the risk has been
analyzed. After SWOT analysis and Red Ocean strategy analysis we found that although the company is making profit but still this industry is about to
reach its saturation and market share growth is about to stagnant. Most of the market offerings are based on either the differentiation or the Low cost.
Relaxo needs to take some bold move to breakout of the boundaries of Red Ocean by achieving both the differentiation and the low cost offerings for
the noncustomers. To find the value innovation for Relaxo, we tried to go beyond the existing demand by identifying the three tiers of non–costumers.
5.1.Three Tiers of Noncustomers First Tier Non–Customers–... Show more content on Helpwriting.net ...
The quality of the execution of strategy is depended on their attitudes and behavior. People should be involved throughout the building and execution of
strategy they should feel that they are a part of it, it should not be something that is forced upon them. Fair process can be implemented for successful
implementation. Relaxo strives to ensure high motivation levels through stimulating work environment, high growth and outstanding development
opportunities with a transparent and productive work environment. The culture should be such that there is a sense of trust and commitment that
people voluntarily cooperate in implementing and executing the strategy. The HR function in Relaxo has undertaken important steps in the area of
Recruitment, Rewards Management, Leadership Development for transforming the company. (Relaxo Footwear Limited Annual report , 2014–

Strategic Information Management
| |
|THE COMPARISON OF |
|BLUE OCEAN STRATEGYAND RED OCEAN STRATEGY |
| |
|Author – Rukshan Fernando |
| ... Show more content on Helpwriting.net ...
3. Red Ocean and Red Ocean Strategy
The Red Ocean could be defined as the existing market space which is currently used globally. Where the boundaries have been created and followed
by each and every competitor in the market. In the Red Oceans firms try to outperform their rival's or competitors in order to obtain a greater market
share. Since the Red Ocean acquire a highly competitive environment the profits and development of the firms who compete in the Red Ocean is
reduced. A Red Ocean strategy could be defined as a strategic decision taken by firms to compete in the existing market using conventional methods of
outperforming the competitors in the market. The Red Ocean strategy focuses on competing in an already existing market which has a number of
competitors also in it. Firms implementing the Red Ocean strategy emphasize on beating the competition in the market through the production of better
quality goods and services than the existing products and services in the market yet at a higher price. The Red Ocean strategy also focuses on the
existing demand and is dependent on reducing the production cost along with a well executed marketing strategy in order to obtain a high market share.
Firm who implement the Red Ocean strategy make to strategic decision about obtaining a better market share namely product

Blue Analysis : Blue Ocean Strategy
WHAT IS THE BLUE OCEAN STRATEGY
The term blue ocean was coined by two professors W.Chan Kim and Renee Mauborgne in their book titled "Blue Ocean Strategy: How to Create
Uncontested Market Space and the Make Competition Irrelevant" (2005).
The authors present the idea of a business being able to operate in a league of its own, without intense competition. The company is able to set its own
pace to create, sell and profit from unique products and services in high potential new markets. The blue ocean is taken as a metaphor to represent
these industries that may offer greater opportunity or higher profit potential. This is the goal of any blue ocean strategy, to search for and gain
uncontested market space instead of engaging in traditional ... Show more content on Helpwriting.net ...
Instead, for a company to achieve long term success, there need to be steps taken beyond the traditional red ocean strategy. For this to happen,
companies need to go beyond competing with each other to take hold of new profit and growth opportunities that can be used to create blue oceans for
their business.
The red ocean strategy takes a structuralist view of the market where all parties accept predefined structures within an industry and continue to compete
within these. To sustain this competition, companies focus on building advantages over their competition. All gains are at the loss of another company
and wealth is captured and redistributed instead of being created. As a result, wealth becomes increasingly limited.
The blue ocean strategy is a reconstructionist view of the market where no accepted boundaries or structure is present. The structure can be created or
recreated by the steps taken by players in the market. Strategy and thinking is not limited by preconceived barriers, and a shift happens from a focus on
the supply side to a focus on the demand side. Value innovation takes precedence over competing blindly with a simultaneous focus on differentiation
and cost effectiveness. An emphasis on the demand side of the market leads to further wealth creation with high potential for payoffs.
History
In 2005, W. Chan Kim and Renee Mauborgne published their book titled the Blue Ocean

Essay on Blue Ocean Strategy- A Marketing Book
BLUE OCEAN STRATEGY
Blue Ocean Strategy
Introduction
Blue ocean strategy is a marketing book by W. Chan Kim and Renee Mauborgne in the year 2005. The book mostly borrows from a range of over 140
strategic marketing moves within a period of over a century. The book succeeds in showing how businesses, can outdo their competitors. Not because
of battling them, rather, because of what the authors refer to as blue oceans, which consists of uncontested market space.
Body
The book gives a detailed outline of how companies should engage each other in the market wars while maintaining and bringing on board new
customers. They successfully do so by presenting tools for the implementation of a successful marketing strategy, and the ... Show more content on
Helpwriting.net ...
As there are neither permanent, excellent companies nor industries. To achieve profits through blue oceans, it is essential that the company conduct a
self–analysis of steps that had desired returns, and the way of simulating them systematically, over a repeated period to achieve Blue Ocean
opportunities.
Most marketing executives would argue that blue ocean opportunities are depleted in the modern world. It is fascinating to note that the universe is
dynamic, and markets are expanding over time, thus, creating new opportunities each, and every day. Not only does the framework in the book try to
give a solution to the analytical concepts that aided in the creation of the Blue ocean strategy. Rather, it also highlights on the execution aspect of it.
Motivation of employees so that they can achieve set targets that have been set to achieve blue ocean opportunities. The book identifies two virtues as
key, among the human resources in the journey to the blue ocean opportunities; these are commitment and trust, As well as, the significance of
emotional recognition and intellectual ability.
The book from the exact onset lays out the need to venture into new market space. This is best explained by Canadian largest cultural export that is the
successful, Cirque du Soleil; the authors attribute the success of this company. To their strategy of exploring new, market avenues for their

Case Study : Blue Ocean Strategy
Blue Ocean strategy:
There are some tool produce to help implement blue ocean strategy. The Eliminate–Reduce–Raise–Create (ERRC) Grid is the matrix that help execute
blue ocean strategy with the four action framework: eliminating, reducing, aising and creating. ERRC Grid help company to remain on their
competitive factors. Eliminating and reduce the factor that the transitional industry take it for granted can help the new strategy to remain unique from
the transitional market. Nevertheless, raising and creating some unique competitive factor the transitional market never or seldom offered that is above
the industry standard. With all these "Four Actions Framework" the company can escape the transitional red ocean market by activate a new blue
ocean market and create a new value curve. (Kim & Mauborgne, 2005)
According to Professor W. Chan Kim and Professor RenГ©e Mauborgne "Blue ocean strategy makes sense in a world where supply exceeds demand".
(Kim & Mauborgne, 2005). The real estate market in Taiwan is the case of the supply exceeds demand at the unstable equilibrium. If the real estate
industry could implement blue ocean strategy to come out with a new demand with an uncontested market space that separate from the transitional real
estate market, the house market would gradually move to a normal stable equilibrium by establish a bond of value for both suppliers and buyers. In the
Blue Ocean strategy, company create a new strategy with the different value proposition

Strategy And Execution Of The Blue Ocean
To shift from Red Ocean to blue ocean, emphasis must be made to the six principles/steps that leads to the formulation and execution of the blue ocean
strategy. Chan and Maubourgne identified that the first step to create the blue ocean strategy is to reestablish the market limit to breach competition so
that the blue ocean becomes apparent using the six–path framework. The challenge a company faces in order to succeed is spotting the opportunities.
The six steps are:
1.Look for possible alternatives with exceptional value to choose from rather than a mere substitute;
2.Examine the industry where the company is in to determine which factors dictates customers to move from one group to another to stand out in the
strategic group the company is in;
3.Question the current market and focus on the previously neglected segment of the market, be it the purchaser, the user or the buyer;
4.Conceive complementary products and services to create a value curve;
5.Shift buyer's appeal from emotional to functional or functional to emotional; and
6.Identify decisive, irreversible trends that have clear trajectory and implement change to unlock new opportunities.
The second step to creating the blue ocean is strategizing, by focusing on the big picture – the performance of the organization, instead of getting
caught up in the operational detail. This is what differentiates those in the Red Ocean from those in the blue ocean. According to the authors, the four
steps to visualize

Blue Ocean Strategy, A New Theory That Proposed By W. Chan...
Brief introduction of Blue Ocean Strategy
Blue Ocean Strategy, is a new theory that proposed by W. Chan Kim and RenГ©e Mauborgne in 2005 after had studied 150 real cases that distributed
in 30 industries. The core idea of the blue ocean strategy is not to arise more competitions, but to establish a new market, so there is no contest. Blue
ocean strategy offers a systematic and effective method for corporations.What is the Blue Ocean Strategy exactly meaning about? There are contents of
what Blue Ocean Strategy want to express to the audience: The first, it wants to tell is that avoid the current competition, and create a new market
included no contest. And then , because the new market exists the no contest, relevantly, the competition is... Show more content on Helpwriting.net ...
Nevertheless a brief explanation as to what BOS is all about might be in order. As in most other strategic models, the ultimate aim of strategising is that
by the action, the company would be at an advantage over the competitors. Thus the two general models such as the
Strength–Weaknesses–Opportunities and Threats (SWOT), and Strategic Positioning and Action Evaluation (SPACE) are done diffrently than the
portfolio models of Boston Consulting Group (BCG) and SHELL/GE. But they all generate strategies for the agencies. And what is common to
all, are that they utilise and consider two sets of variables, namely the external and the internal variables before the various strategic choices are
generated. The SWOT model will have a set of external variables (list of opportunities and threats) being paired with the internal variables (list of
strengths and weaknesses) and from which alternative strategies are generated (David 2006). Similarly the SPACE model would pair two sets of
internal variables (average score of Financial Strengths and Competitive Advantage) with the external variables (average score for the Industrial
Attractiveness and Environmental Stability) and the average of all the four dimensions would give an idea of what strategic choices would best fi the
agency concern (Mintzberg 2003 ).Then there are the portfolio models (BCG, Shell, GE) where various portfolios could be viewed in one chart and
strategies would depend on the portfolios in their

Strategic Analysis: Summary And Analysis Of The Blue Ocean...
1.Summary and Analysis :
Nowadays many new companies have emerged in the markets this will cause a lot of conflicts in the crowded marketplace in order to stay in the
competition, success and gain profits. The competition is often so severe that some companies cannot sustain themselves and may stop operating.
Therefore, W.Chan Kim and Renee Mauborgne whom are professors of strategic management they develop ablue ocean strategy as a new way of
thinking to make this competition irrelevant and creating new market space. It is also demonstrates how the companies traditionally work in red ocean
conditions where companies are fighting fiercely against each others to gain a share of the market.
So what is Blue Ocean?
W.Chan Kim and Renee Mauborgne (2004) state that Blue Ocean is the market that does not exist today on other word new and unknown market that
are still unpopular in the market space, where demand is produced rather than fought over.
Many companies were success because of the blue ocean strategy such as automobiles, computer and movie theaters. However, creating a blue ocean
requires a good analysis of risk–management and money. For example, Cirque du Soleil is one of the largest Canada's cultural exports that were
established in 1984 ... Show more content on Helpwriting.net ...
According to Blue ocean strategy including examples article in 1976 Apple was established by Steve Jobs and Steve wozniak. It is considered as one
of the biggest company worldwide. It is concentrate on manufacturing computer software systems. Blue Ocean strategy was used by Apple Since 2001,
this strategy makes them successful. Hence, Apple creates its own future profits and growth through inspiring new market space and ignoring demand.
They does not care about what their competitors provides in the market as they believe that their brand name is known every ware and many people
are loyal to them and they doesn't attractive to another brand like

Blue Ocean Strategy: Summary And Analysis Of A Blue Ocean...
1.Summary and Analysis :
Nowadays many new companies have emerged in the markets this will cause a lot of conflicts in the crowded marketplace in order to stay in the
competition, success and gain profits. The competition is often so severe that some companies cannot sustain themselves and may stop operating.
Therefore, W.Chan Kim and Renee Mauborgne whom are professors of strategic management they develop ablue ocean strategy as a new way of
thinking to make this competition irrelevant and creating new market space. It is also demonstrates how the companies traditionally work in red ocean
conditions where companies are fighting fiercely against each others to gain a share of the market.
So what is Blue Ocean?
W.Chan Kim and Renee Mauborgne... Show more content on Helpwriting.net ...
This means that from the value chain the company can evaluate costs and see if it suit their budget or not, so if it above their budget they make
adjustment to reduce costs to be more efficient. Also, helps in finding ways to develop company itself (Value Chain Model, 2015). Moreover,
some company used Porter's five forces model to assets the attractiveness of the industry, as this will give them clear idea in either continue or stop
the business. These five factors are supplier power, buyer power, competitive rivalry, threat of substitution and threat of new entry ("Porter's five
forces", n.d.). In addition, in Blue ocean strategy using Porter's five forces is not good tool, while it is good tool for red ocean strategy, because it
used for companies that already in market. Competitive advantage means the advantage that any industry has over its rivals that they cannot copy
over the time. Therefore, competitive advantage tolerates any company to survive and to flourish against competition. As well as, it helps industries
to add more value than their rivals in the same market. Hence, the blue ocean will be the best strategy to use in order to be successful. In terms of
Blue Ocean competitive advantage it is used both differentiation and cost advantage, conversely, Red Ocean used one of them either cost or
differentiation besides the porters five factors. Managerial actions contain acquisition of other company. As managerial actions for creating a blue
ocean it is not vital to make goods and services to the public or inspecting the external imposes. For example, in 2001 Compaq was acquired by
Hewlett Packard

The On The Blue Ocean Strategy Essay
Kim and Mauborgne espouses that the key to beat the competition is to stop beating the competition, but rather to follow the logic of value innovation.
Those who want to create a blue ocean strategy for their company must focus on value innovation that makes the competition irrelevant by the
simultaneous pursuit of differentiation and low cost, thus creating a leap in value for the customers and an uncontested market space for the company.
According to Chan there are three analytical tools that may be used into the formulation and execution of the blue ocean strategy, tools that must
possess the following characteristics and pass it. It must have a target or focus, which is the value curve of the company, must be diverse or unique
compared to the industry's average profile, and finally, it must have a well–defined and interest–evoking tagline that delivers and communicates
candidly a very clear message. The first analytical tool is Strategy Canvas, an analytical framework in a graphical form, that is intended to capture the
current state of the market to better understand the competitors' current investments, factors that the industry is currently competing on, as well as the
benefits derived by the customers from the existing market offering. This gives insight on how to reevaluate the problem of the industry. The Four
Action Framework, another analytical tool that creates new value curve, defines the factors that should be: 1) eliminated either because the industry

Creating A Blue Ocean Strategy
According to Michael Porter, "a company strategist who understands that competition extends well beyond existing rivals will detect wider competitive
threats and be better equipped to address them" (Porter, 2008, p.16). Thinking comprehensively about the structure of the industry as well as its
customers can afford companies the ability to obtain superior performance. Therefore, it is key for companies to focus on how to maintain existing
customers as well as lure new ones.
Three tiers of non–customers
As we have learned from our readings, to create a blue ocean strategy means to reach out to "untapped market space, demand creation, and the
opportunity for highly profitable growth" (Kim & Mauborgne, 2005, p.4). These blue ocean strategies can exist beyond existing industries/markets or
they can be expanded upon in existing markets (red oceans). Either way, "companies need to go beyond competing" (p.5). To do so companies should
identify and attract non–customers. The three tiers of non–customers identify different level of non–customers companies can attract to convert them
into new customers. We will discuss these non–customers as it applies to the Apple IPhone.
The first tier non–customers are those smartphone users that are curious about the IPhone and interested in possible switching. The launch of the
IPhone 5 was geared towards two sets of buyers; existing customers and first tier non–customers. Both sets were disappointed with the previous
IPhones screen sizes. The

Analysis Of Blue Ocean Strategy By W. Chan Kim And Renee...
Introduction
There are abundance of business books trying to explain the success or failure of companies in terms of the characteristics of the companies, their
leadership capability, great products ideas etc. But success of a company is never perpetual and follows a cycle of high and low performance. More
often than not, these companies perform worse than industry, or fail to sustain the growth for a long time. For example, Hewlett–Packard performed
better than market for a long enough time, but did poorly soon afterwards with same the good products and leadership (Page 10). Therefore, the
company itself is not a very good unit to measure success or failure; it's the strategies the companies take, which decide the success or failure of the
company. And the "Blue Ocean" Strategy, the term introduced in the book "Blue Ocean Strategy: How to Create Uncontested Market Space and Make
Competition Irrelevant", by W. Chan Kim and RenГ©e Mauborgne, is one, which ensures a company to have a long stretch of uncontested success
away from the competition.
Key Concepts
Red Ocean: A market space filled with several players competing with each other for profit and market share is a Red Ocean.
Blue Ocean: An unexplored and unknown market space with no competition is a Blue Ocean.
Value Innovation: Offering greater value to customers by reducing factors the industry competes on, and raising and offering unoffered factors, those
the customer values more.
Main Propositions
Most of the times,

Blue Ocean Strategy
The impact of Blue Ocean Strategy In the earlier work (See Blue Ocean Strategy: how to create uncontested market , 2005) it has been argued two
types of strategies: blue ocean strategy and red ocean strategy. Red ocean strategists compete to win market share in traditional mature markets and
pursue either a differentiation or cost leader strategy. On the other hand, Blue ocean strategists, create new environments, redefine products or services
or the nature of competition, make competition irrelevant, and pursue a strategy of differentiation and low cost. This essay puts an extend view: the
applications of Blue Ocean strategy in real cases, and what is key advantage of blue ocean strategy? From the researcher's point of view, the... Show
more content on Helpwriting.net ...
fewer long– term constraints on | |Personal opportunity costs are high |participant) | |Direct costs to sponsor potentially very high |Lower direct costs to
sponsor (student, parents, school) | Table 1.1 According to the Blue Ocean Strategy, The strategy canvas is an analytic framework, which is central to
value innovation and the creation of blue oceans. The strategy canvas captures the current state of play in the known market space. This allows
researcher to understand where the competition is currently investing, the factors the industry currently competes on in products, service, and delivery,
and what customers receive from the existing competitive offerings on the market. There are some competitors, which have tremendous success on
English training or learning in China. Two of them are Wall Street English and Dell English International. Founded in 1999,

Blue Ocean Strategy
STRATEGIC MANAGEMENT
ASSIGNMENT # 5
BLUE OCEAN STRATEGY
October 24, 2014
Case Study
Question 1
Critically analyze the case.
Solution 1
In this case study, the author has discussed different methods and strategies which global firms are adapting to achieve success and to grow
exponentially in their relevant industries. This article has focused on two strategies, Red Ocean and Blue Ocean particularly. These strategies are used
to define the environment a firm is operating in and to figure out whether they are creating value for the firm or not. Blue Ocean Strategy is basically to
create new uncontested markets solely through innovation and creativity where demand is created and derived from the market. Whereas Red Ocean ...
Show more content on Helpwriting.net ...
This helped him revive and attain greater revenues over the decade.
Question 2
According to the case why is there an imbalance in favor towards red ocean strategy? What are the main differences between Red Ocean and blue
ocean strategy? According to the case what role does a corporate strategy play to influence a company's position in an industry, along with pursuing
Red Ocean or blue ocean strategy?
Solution 2
The word "Strategy" has found its birth from the military and has its roots aligned with them. The military's stance on strategy has always been to
defeat the enemy in order to succeed. Which means that military point of view is that to gain a greater share of land by pushing the enemy towards a

competitive disadvantage and diminishing its share of land. Red Ocean focuses on competing with the existing rival firms and to increase their market
shares by reducing the competing rival firm's market share.
Corporate strategy basically defines the company's line of action and the direction it is going to follow. The traditional concept of a corporate strategy
with a military school of thought is to capture the rivalry firm's market share and gain competitive advantage over them which is known as Red Ocean
Strategy. Whereas, Blue Ocean strategy focuses on exploring new untapped markets and creating demand for a firm's products and services. Question 3
Give one example of a company pursuing blue ocean strategy and one example of a

Blue Ocean Strategy Essay
A REPORT ON THE
ANALYSIS OF BLUE OCEAN STRATEGY AND ITS IMPLICATIONS
CONDUCTED BY:
NAME:MBURU
ID:L0471ALAL0211
MODULE:STRATEGIC INFORMATION MANAGEMENT
LECTURER:DAVID ACQUAYE
COURSE:BA–BMS 4
DATE:19TH APRIL, 2012
WORDS:3,776
SCHOOL:LONDON SCHOOL OF COMMERCE
LONDON, UNITED KINGDOM
Table of Contents
Executive Summary3
Chapter One
Definition of Blue Ocean Strategy4
The Authors6
Chapter Two
Introduction7
Major Differences Between Blue Ocean and Red Ocean7
Conclusion7
Chapter Three
Introduction10
The Four Actions Framework10
The Four Actions Framework In Practice10

The ERRC Grid10
Chapter Four
Conclusion16
Recommendations17
Reference List18
EXECUTIVE SUMMARY
The author carried out this ... Show more content on Helpwriting.net ...
This is done by creating a leap in value both for the buyers as well as for the organization thereby creating a new and uncontested market space.
Companies left out in the red ocean usually follow a conventional approach, running to beat competition by creating a defensible position in the current
market space order. Value innovation balances both value and innovation. Value that lacks innovation will focus on value creation i.e. improving value
insufficiently to let you stand out in the market place. Innovation which lacks value will be, as Kim and Mauborgne put it (page 13),
technology–driven, market pioneering or futuristic rising above what the buyers will be ready to accept and pay for.
THE AUTHORS The authors of the book 'Blue Ocean Strategy' are two friends who dedicated the book to their friendship, loyalty and belief in one
another. They are: W. Chan Kim and RenГ©e Mauborgne. They met twenty years before publishing the book, in a classroom– one as a professor, the
other as a student. And since that time they have been working together seeing themselves like two wet rats in a drain. The book, blue ocean strategy,
was a victory of their friendship and not an idea, which, they found

What is the Blue Ocean Strategy?
What is Blue Ocean Strategy?
by
Nattida Sae–Iw
MBA Student
What is Blue Ocean Strategy?
Let's start with the metaphors
To understand the term of Blue Ocean, imagine a market universe composed of two sorts of oceans: Red Oceans and Blue Oceans.
Red Oceans represent the existing market space which is known market. Companies in red oceans are competitive–base; they are fighting each other
and aim to get a bigger market share from their competitors. The world now is globalized, the competitions are fiercer than ever, they are battling on
the same demand thus this is bloody competition. That's why it's called red oceans.
Blue Oceans are new, defined as unknown ... Show more content on Helpwriting.net ...
Creating new demand instead of striving to do better than competitors
2. Looking for non–customers instead of getting a bigger share of customers
3. Challenging assumptions and reconstructing industry
4. Voluntary participating self– initiated teams

5. Executing strategies while conserving time and resources
Strategies Canvas – Capture both current state and also demand side of alternatives
1. Do dimension on graph: value factors that are important, what your industry focuses on. Graph the company then graph for your own
2. Look at the frameworks
3. Try to answer 4 questions (New value curve) and review what does the industry curve look like? And what does your company's curve look like?
Then apply four actions frameworks to build a winning strategy.
Reduce: Which factors should be reduced well below the industry's standard?
Eliminate: Which of the factors that the industry takes for granted should be eliminated?
Raise: Which factors should be raised well above the industry's standard?
Create: Which factors should be created that the industry has never offered?
Blue Ocean is not about taking risk and also not avoiding risk. It's maximizing opportunities and minimizing risks. Blue Ocean focuses on six different
risks that are associated with formulations strategy.
o Search risk – How you come up with the right idea?

Notes On Blue Ocean Strategy
W. CHAN KIM AND RENEE MAUBORGNE
BLUE OCEAN STRATEGY
HOW TO CREATE UNCONTESTED MARKET SPACE AND MAKE THE COMPETIOION IRRELEVENT
BOOK SUMMARY
BACKGROUND
Authors W. Chan Kim and Renee Mauborgne are both professors of strategy at INSEAD Business School, France, and are both Fellows of the World
Economic Forum. They both have an established presence in the world of academics and business, so they can be considered an authority on strategic
and business planning. First published in 2005, Blue Ocean Strategy introduced a new way of creating market space. Kim and Mauborgne proposed
that the market could be divided into two categories: blue oceans and red oceans. In a red ocean, everything is known, the rules are laid out and the
boundaries clearly defined. In a blue ocean, the competition becomes irrelevant as businesses forge into the untapped potential of the market creating
their own space. This book revolutionized how businesses thought about strategic and business planning.
OVERVIEW
This book proposes that the best way to overcome the competition, it to stop trying to compete with them. When a business does this, they leave
behind the red ocean filled with sharks, and enter into blue oceans where they are free to grow without fear of being attacked. The authors surveyed
over 100 companies and found that 86 percent were product extensions while the remaining 14 percent delved into blue oceans. Even though only a
small number decided to brave the unknown, they generated 61

Review on Blue Ocean Strategy Essays
Review on Blue Ocean Strategy (BOS) BOS is a kind of strategy which be inspires to innovate and focus on develops new demand and new markets
through selling products e.g: Ipod, Ipad instead of fighting with the competition over the same market share as well as satisfying the same demand
from the customers which is typically done in a red ocean strategy (ROS). In other word, BOS represent "untapped market space" and the opportunity
to gain high profit for the companies. They urge companies to enhance the value of innovation by focusing more on price, utility, and cost positions. In
addition, companies also suggested creating and capturing their new customers demand as well as keeping their focus on the big picture, not the
numbers. (Kim and... Show more content on Helpwriting.net ...
It also helped companies to consider an alternate ways to spot opportunities that will give add value and competitive advantage in business in order
to capture the market demand. The issue arise from my own perspective is whether BOS can be reliable for the long term success of the companies.
How company want to sustain their high performance and success by focusing more on the uncontested market space rather than competing in
overcrowded industries. This strategy seem challenging since this strategy focus on capture new market and new demand, which it's required extra
efforts in term of innovation of products and promotion in order to make customers realize about their product. Even there are some discussions
about the blue ocean strategies; however, based on my review on customers comment said that the practical guidance on how to create them is
limited. Therefore, without usual analytic framework which can be used as guidelines to create blue oceans as well as effective principles to manage
risk, creating blue oceans viewed as too risky for managers to pursue as strategy for their company. Apart from the negative side, implementing the
BOS can lead the company to become pioneer. So a company that has succeeded on creating a BOS has many sustainability advantages (Kim and
Mauborgne, 2005. The pioneer advantages can be in

Blue Ocean Strategy By W. Chan Kim And Renee Mauborgne
Huan Qi (Vicky) (SID: 861179278)
Bus109 section 21
Professor: Sean D. Jasso
16 Oct 2015
Kim, W. Chan and Mauborgne, Renee(2004). Blue Ocean Strategy. Harvard Business Review
The book, which called Blue Ocean Strategy, published in 2005 and written by W. Chan Kim and RenГ©e Mauborgne. After reading this book, the
author wants to tell us that companies can succeed through creating "blue oceans" of uncontested market place. They don't want to battle all the
competitors. They maintain these strategic moves in order to create a saltation in value for this company. In addition, all of their buyers and
employees by unlocking new demand, it finally makes the competition irrelevant. In order to foster an organization 's ability, it also shows the
analytical frameworks and tools to create and capture blue oceans by reading this book.
If you read this book, it provide a "road map" and a lot of visualization "tools." people could use its tools, its "six paths" and walk its road map, you
might very well succeed. Your own natural abilities to work with any non–random framework won out. In addition, this book offers another way of
looking at strategy. For me, blue ocean strategy is another way for companies to outperform others in a whole new level. Instead of being reactive to
what other companies are doing, a company adopting blue ocean strategy focuses on creating value innovation. The book has multitude of examples and
good ideas on how companies can adopt this mindset.
A blue

Analysis: Red And Blue Ocean Strategy
Phase One – Understanding the Basics of Marketing
1.Value– is customer's idea about value of the product. customer evaluate the benefit and cost of one product to another.
2.Elements of Value– there 4 four elements of value . social impact , life changing , emotional and functional .
3.Value Proposition and elements of VP– it's a statement given by the company to make the consumers to under the difference the product or service
gives when compared to others.
Few elements of value proposition is customer needs and insights , promise of value , competitive differentiation , proof and qualification . 4.Product
Market Fit – being in a good market, where the product satisfies the needs ... Show more content on Helpwriting.net ...
39.Red and Blue ocean strategy
Red ocean strategy – is to improve the market share in the current market and creating demand beyond expectations.
Blue ocean strategy – is process of making new market and new demand by combination differentiation and low cost strategy.
40.Vision, Mission and Values–
Vision – it's a statement which gives goals of the business in present and future .
Mission – the statement which gives why the business and what it does .
Value– the statement gives information about beliefs on people/business , that focuses on its needs .
41.Strategic Business Units (SBU)– It is a part of a larger organization that operates independently on a certain sets of products and its behaviour .
42.Micro and Macro – Marketing Environment (Political, Cultural, Technological, Natural, Legal and– micro – employee, suppliers, competitors,
customer, general people and intermediators are directly linked with the company and influence
Macro – demographical, economic, political, legal, and social factors are directly linked with the company and

Essay about Blue Ocean Strategy
Adel Erolsky
University of Phoenix
MKT/421
Ron Rosalik
August 25, 2014
In today's business world, competition is a big concern for nearly every corporation. The competition on the market is getting stronger and more
difficult to overcome, in many situations corporations terminate their products, production, or their services, just because it is impossible to continue;
the cost is too high to focus on gathering development projects in marketing, production, market research, and product innovation, to fight against the
competitors.
The kind of competition market described previously is an example of a Red Ocean Strategy. The market is oversaturated with companies ... Show more
content on Helpwriting.net ...
An example of Blue Ocean Strategy business would be "Le Cirque du Soleil." At some point of our life we did went to see the circus. The circus'
performances were very popular for many centuries. This is an old concept – a group of artists and acrobats who travel the world with a tent, and with a
diversity of wild animals to perform a spectacular show. The primary target was the children. Today, this concept is obsolete, although still exist in
Europe.
According The Wall Street Journal" ... Cirque du Soleil, the Canadian company that redefined the dynamics of a declining circus industry in the 1980s.
Under conventional strategy analysis, the circus industry was a loser. Star performers had "supplier power" over the company. Alternative forms of
entertainment, from sporting events to home entertainment systems, were relatively inexpensive and on the rise. Moreover, animal rights groups were
putting increased pressure on circuses for their treatment of animals." (Murray, 2014) A new era was created transforming the concept of what is a
circus today. As the Wall Street Journal described, "Cirque du Soleil eliminated the animals and reduced the importance of individual stars. It created a
new form of entertainment that combined dance, music and athletic skill to appeal to an upscale adult audience that had abandoned the traditional
circus. (Murray, 2014)
This new revolutionary strategy took an obsolete business, which was at risk of

Blue Ocean Strategy Criticism
Risk associated with being first mover(entry order). 1. Being overtaken by 2nd mover Facing market risk – market not formed yet Customer
uncertainty and extended time for adaptation Charles Stack 1st online book store lost its market share for Amazon.com invest highly in R&D and
marketing cost Follower strong product positioning, pricing and heavy promotion firm has to be aware of fast, aggressive and imitating followers that
will neutralize all the firm's efforts and investments and decrease firm dominance cost of imitation is only about 65% of the cost of innovation market
development, competitive actions and technological development it is not easy to shape industry conditions have to be taken into account Mauborgne...
Show more content on Helpwriting.net ...
Penrose set the foundation of resource–based view (Rugman and Verbeke, 2002) and strongly resembles Kim and Mauborgne's view and teachings.
Even Porter (1996) noted ten year before the Blue Ocean Strategy book that a firm can be not be successful by performing better than its competitors,
but has to partake in different activity than its competitor. Value innovator targets the mass By focusing on the commonalities of the customers, the
strategy seeks to target the mass, and hereby boosting demand and sales. It argues that the strategy focuses on commonalities, rather than differences
between customers, which is how it was done traditionally. The underlying framework After discussing each of the underlying assumptions of the Blue
Ocean theory, it can be seen that the Blue Ocean theory is based upon the idea that when a company is to create a blue ocean, it has to make efforts in
rethinking its boundaries in terms of industry, competition and capabilities. Besides that, it is apparent that a blue ocean is created through the efforts
of generating value innovation. Its idea of value innovation originates from Porter's early view of business strategies. It contrast from Porter in a way
that it frames the thought that low costs strategy and differentiation strategy can be joined together, rather than being mutually

Blue Ocean Strategy Paper MKT/421 July 21, 2014 Anatomy of Blue Ocean Strategy In order to process the nature of a blue ocean entity, it is
imperative to grasp the point of derivation, which is otherwise known as a red ocean. A red ocean, which is polar to a blue ocean, generates its
namesake from a literal representation. Imagine a feeding frenzy in the middle of the ocean; the water turns red with the victim's blood as predators
compete for survival. Now, apply this image to economic conditions. In an open market in any given industry, where there are established standards,
barriers, and rules, competitors in a well–defined saturated industry jockey for market shares from... Show more content on Helpwriting.net ...
A think tank was developed from the ground–up where they began making hunting videos that would showcase their expertise accompanied by their
product. This in itself insinuated credibility. As this concept gained momentum, outsiders caught on to the manufacturers. A realization that the
Robertsons embodied countless qualities that would further market the brand to consumers as the face of the company would prove to be the
discerning factor that would propel them into blue oceans. When A&E picked up the Robertsons for reality TV, the premise ran along the ideals that
they were to project their unwavering and innate principles, along with their business venture. The charm of each character created a reality TV
phenomenon. They essentially created a market based off their own marketability. Now, the Robertsons are, "leveraging every ounce of their celebrity
fame [by] publishing books", making appearances, and expanding their brand's tentacles into the far reaches of every retailer (Huspeni, 2013). Red
Ocean Alternative For the sake of argument, the following will examine the same product should it have remained buoyant in red waters. As it was
previously determined, the defining element of the brand was its marketing push. Should Duck Commander have settled on its founding design, it
would likely have found themselves sharing market space with other competitors. A lapse in this strategical decision would have stunted profit

Blue Ocean Strategy
www.hbr.org
Competing in overcrowded industries is no way to sustain high performance. The real opportunity is to create blue oceans of uncontested market space.
Blue Ocean Strategy by W. Chan Kim and RenГ©e Mauborgne
Included with this full–text Harvard Business Review article: 70 Article Summary The Idea in Brief–the core idea The Idea in Practice–putting the idea
to work 71 Blue Ocean Strategy 80 Further Reading A list of related materials, with annotations to guide further exploration of the article's ideas and
applications
Reprint R0410D
Blue Ocean Strategy
The Idea in Brief
The best way to drive profitable growth? Stop competing in overcrowded industries. In those red oceans, companies try to outperform rivals to ... Show
more content on Helpwriting.net ...
The tagline for one of the п¬Ѓrst Cirque productions is revealing: "We reinvent the circus." Cirque did not make its money by competing within the
conп¬Ѓnes of the existing industry or by stealing customers from Ringling and the others. Instead it created uncontested market space that made the
competition irrelevant. It pulled in a whole new group of customers who were traditionally noncustomers of the industry–adults and corporate clients
who had turned to theater, opera, or ballet and were, therefore, prepared to pay several times more than the price of a conventional circus ticket for an
unprecedented entertainment experience. To understand the nature of Cirque's achievement, you have to realize that the busi–
harvard business review october 2004
page 71

Blue Ocean Strategy
W. Chan Kim (chan.kim@insead.edu) is the Boston Consulting Group Bruce D. Henderson Chair Professor of Strategy and International Management
at Insead in Fontainebleau, France. RenГ©e Mauborgne (renee.mauborgne@ insead.edu) is the Insead Distinguished Fellow and a professor of strategy
and management at Insead. This article is adapted from their forthcoming book Blue Ocean Strategy: How to Create Uncontested Market Space and
Make the Competition Irrelevant (Harvard Business School Press, 2005).
ness universe consists of two distinct kinds of space, which we think of as red and blue oceans. Red oceans represent all the industries in existence
today–the known market space. In red

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