Cirque du Soleil's BLUE OCEAN STRATEGY: One-page Story of How Cirque du Soleil Used a Business Model Yacht to Sail to the Blue Ocean

Industry/Market/Customer
Goal
(Job
To
Get
Done):
Problem
Pain:
(Un)Known
PROFIT
(Key
Metrics)
9
7
5
3
#BMYacht.
Dr.
Rod
King.
rodkuhnhking@gmail.com
&
h:p://businessmodels.ning.com
&
h:p://twi:er.com/RodKuhnKing
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Inputs/
Partners
Channels
&
RelaKon-‐
ships
Product/
Service
9
7
5
3
COST
(STRUCTURE)
REVENUE
(STREAMS)
Price
Star
Performers
Concessions
Mul:ple
Arenas
Fun
&
Humor
Theme/
Music
&
Dance/…
Unique
Venue
Thrill
&
Danger
1
i
ii
iii
iv
v
vi
vii
viii
1
i
ii
iii
iv
v
vi
vii
viii
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Circus-‐Theater
q Adults
q Corporate
Clients
q Family
q Children
q Ticket
Office
q Face-‐to-‐Face
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
BOS:
Six
Principles
Four
AcDons
F’work
q E:
Eliminate
Star
Performers/
Animal
Shows/
Aisle
Concessions/
Mul:ple
Arenas
q R:
Reduce
Fun
&
Humor/Thrill
&
Danger
q I:
Increase
Unique
Venue
q C:
Create
Theme/
Music
&
Dance/
Mul:ple
Prodn
High
Profit
Margin
q Ticket
Sale
(Premium)
Low
Profit
Margin
To
experience
live
entertainment
1
2
3
4
5
Dynamic
Dynamic
Strategy
Canvas
(“As
Is”)
Strategy
Canvas
(“To
Be”)
Decision-‐Making
Dashboard
Decision-‐Making
Dashboard

In
this
PresentaDon,
Cirque
du
Soleil’s
Blue
Ocean
Strategy
is
Featured
Using
A
Business
Model
Yacht
Invented
by
Dr.
Rod
King,
a
Business
Model
Yacht
refers
to
a
Kmeline-‐
storymap
for
comprehensively
documenKng,
analyzing,
planning,
strategizing
about,
execuKng,
and
managing
a
business
model
(as
well
as
value
chain
or
any
project)
in
space
and
Kme.

Goal
(Job
To
Get
Done):
…
……………………………..………………….
1
2
3
4
5
(Done)
(To
Do/Vision)
(Doing)

Goal
(Job
To
Get
Done):
…
……………………………..………………….
1
2
3
4
5
(Done)
(To
Do/Vision)
(Doing)
Problem
Pain:
(Un)Known
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known

Goal
(Job
To
Get
Done):
………………………………..………………….
Problem
Pain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
#VCYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine
(ProposiDon/Strategy)
Internal
Resources
Inputs/
Partners
Channels
&
RelaKon-‐
ships
Product/
Service
I
n
n
o
v
a
t
I
o
n
A
c
c
co
u
n
t
i
n
g
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

What
is
the
customer’s
main
goal
(Job
To
Get
Done:
Problem
Pain:
(Un)Known
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
What
are
soluKons/
gains/benefits?
Who
is
the
customer?
What
are
problems/
barriers/obstacles?
How
is
product/service
delivered
to
customer?
What
is
the
product/service?
What
is
the
big
urgent
problem/pain
(soluDon/benefit)?
What
are
key
ac:vi:es
or
processes
of
the
organiza-‐
:on?
What
are
internal
resources
(people;
infra’;
tech-‐
nology)?
What
are
key
inputs/
partners?
Physical/Intellectual/EmoDonal/Spiritual
Hierarchy)?
1
2
3
4
5
6
7 8 9
10
COST
(STRUCTURE)
REVENUE
(STREAMS)
PROFIT

Problem
Pain:
(Un)Known
q Agents
for
ArDsts
q Suppliers
High
Profit
Margin
q Adults
q Corporate
Clients
q Family
q Children
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Channels
&
RelaKon-‐
ships
Product/
Service
q Ticket
Sale
(Premium)
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Employees
q Brand/Culture
q FaciliDes/
Equipment/
MulDple
ProducDons
Entertainment
q ArDsDc
Show
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
q Ticket
Office
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
Goal
(Job
To
Get
Done):
To
experience
live
entertainment
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

Problem
Pain:
(Un)Known
New
Entrants
(Startups)
High
Profit
Margin
q Adults
q Corporate
Clients
q Family
q Children
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Channels
&
RelaKon-‐
ships
Product/
Service
q Ticket
Sale
(Premium)
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Employees
q Brand/Culture
q FaciliDes/
Equipment/
MulDple
ProducDons
Entertainment
q ArDsDc
Show
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
SubsD-‐
tutes
(Incumbents)
q Agents
for
ArDsts
q Suppliers
q Ticket
Office
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
Goal
(Job
To
Get
Done):
To
experience
live
entertainment
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

Problem
Pain:
(Un)Known
New
Entrants
(Startups)
High
Profit
Margin
q Adults
q Corporate
Clients
q Family
q Children
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Channels
&
RelaKon-‐
ships
Product/
Service
q Ticket
Sale
(Premium)
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Employees
q Brand/Culture
q FaciliDes/
Equipment/
MulDple
ProducDons
Entertainment
q ArDsDc
Show
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
SubsD-‐
tutes
(Incumbents)
Outdoor
Sports/Games
Theater
Musical
(Electronic
Games)
q Agents
for
ArDsts
q Suppliers
q Ticket
Office
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
Goal
(Job
To
Get
Done):
To
experience
live
entertainment
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

Problem
Pain:
(Un)Known
New
Entrants
(Startups)
Outdoor
Sports/Games
Theater
Musical
High
Profit
Margin
q Adults
q Corporate
Clients
q Family
q Children
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Channels
&
RelaKon-‐
ships
Product/
Service
q Ticket
Sale
(Premium)
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Employees
q Brand/Culture
q FaciliDes/
Equipment/
MulDple
ProducDons
Entertainment
q ArDsDc
Show
q Agents
for
ArDsts
q Suppliers
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
SubsD-‐
tutes
(Incumbents)
Comple-‐
mentors
Influenc-‐
ers
(Electronic
Games)
q Ticket
Office
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
Goal
(Job
To
Get
Done):
To
experience
live
entertainment
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

Problem
Pain:
(Un)Known
High
Profit
Margin
q Adults
q Corporate
Clients
q Family
q Children
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Channels
&
RelaKon-‐
ships
Product/
Service
q Ticket
Sale
(Premium)
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Employees
q Brand/Culture
q FaciliDes/
Equipment/
MulDple
ProducDons
Entertainment
q ArDsDc
Show
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
Forces
Against
Forces
For
q Agents
for
ArDsts
q Suppliers
q Ticket
Office
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
Goal
(Job
To
Get
Done):
To
experience
live
entertainment
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

Problem
Pain:
(Un)Known
High
Profit
Margin
q Adults
q Corporate
Clients
q Family
q Children
#BMYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
Internal
Resources
Channels
&
RelaKon-‐
ships
Product/
Service
q Ticket
Sale
(Premium)
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine:
Value
Innova:on-‐focus
(ProposiDon:
“We
Reinvent
the
Circus”)
Blue
Ocean
Strategy
q Employees
q Brand/Culture
q FaciliDes/
Equipment/
MulDple
ProducDons
Entertainment
q ArDsDc
Show
q Employees
q FaciliDes/
Equipment/Rent
q MarkeDng
&
Sales
S:
Strengths
O:
Opportuni-‐
Des
W:
Weaknesses
T:
Threats
q Agents
for
ArDsts
q Suppliers
q Ticket
Office
q Radio
q TV;
Other
Media
q Newspapers
q Fringe
FesDvals
Goal
(Job
To
Get
Done):
To
experience
live
entertainment
1
2
3
4
5
PROFIT
(Done)
(To
Do/Vision)
(Doing)

Stage/Tollgate
Theme/Project
1.
ConcepKon
(Problem/JTGD)
2.
Pretotype
(ChaoDc)
3.
Prototype
(Complex)
4.
Pilot
(Complicated)
5.
Full
Scale
(Simple)
NATURE
Fill
a
Niche/DNA:
Solve
Problem/
Resolve
Trade-‐off
in
Ecosystem
RINGLING
BROS.
Red
Ocean
Circus:
Create/Launch
a
Classic
Circus
Business
“The
Greatest
Show
on
Earth”
Classic
Traveling
Circus
Tollgate
Criteria
(Level
of
Interest)
CIRQUE
DU
SOLEIL
Blue
Ocean
Circus:
Create/Launch
a
Circus-‐Theater;
“We
Reinvent
the
Circus”
Traveling
Street
Performers:
2
No.
Traveling
Street
Performers:
Small
Ensemble
Traveling
Circus-‐
Theater:
Large
Ensemble
Resident
Circus-‐
Theater
with
Own/
Permanent
Venue
for
Entertainment
Tollgate
Criteria
(Level
of
Interest)
Every
Great
Idea
or
Industry
Sai
ls
Through
a
Lifecycle
of
5
Stages

Goal
(Job
To
Get
Done):
………………………………..………………….
RED
OCEAN
1
2
3
4
5
BLUE
OCEAN
(To
Do/Vision)
SoluKon
Gain:
(Un)Known
(Done)
Problem
Pain:
(Un)Known
Method
Disrupt
a
leading
product/
service/business
model
to
create
a
really
different
and
valuable
experience
(Doing)
(Strategy)
Develop,
test,
and
validate
a
massive
level
of
customer
interest
(for
each
stage
of
the
idea
lifecycle)
1 2
Make
extraordinary
profit
(margin)
3
#VCYacht.
Dr.
Rod
King.
&
&

Every
Great
Idea
Sails
Thro
ugh
a
Lifecycle
of
5
Stages
1.
CONCEPT
(PROBLEM/IDEA)
2.
PRETOTYPE
3.
RED
OCEAN
(ExisKng)
COMPETITORS
PROTOTYPE
4.
PILOT
5.
FULL
SCALE
1
2
3
4
5
#BMYacht.
Dr.
Rod
King.
&
&

Enterprise
Periodic
Table
(EPT)
of
Business
Model
Elements:
10
QuesDons
For
Visually
Designing
and
Using
Tools
Such
as
Brainstorming,
Experiment
Board,
Business
Model
Canvas,
Lean
Canvas,
Value
Chain,
and
SIPOC
Process
Diagram
ELEMENT
ICON
DESCRIPTION
SYMBOL
THEME:
QUESTION
CUSTOMER
CS
Who
is
the
customer?
PRODUCT
PS
What
is
the
product/service?
CHANNEL
CH/CR
How
is
the
product/service
delivered
to
customer?
GOAL/JOB
JTGD
What
is
the
customer’s
main
goal
(Job
To
Get
Done:
Physical/Intellectual/EmoKonal/Spiritual
Hierarchy)?
PROBLEM
Prob
What
are
problems/pains/barriers/obstacles?
VALUE
VP
What
is
the
big
urgent
problem/pain
(soluKon/benefit)?
INPUT
KP
What
are
key
inputs/partners?
INTERNAL
RESOURCES
KR
What
are
internal
resources
(people;
infra’;
technology)?
PROCESS
KA
What
are
key
acCviCes
or
processes
of
the
organizaCon?
SOLUTION
Soln
What
are
soluKons/gains/benefits?
#BMYacht.
Dr.
Rod
King.
&
&
1
2
3
4
5
6
7
8
9
10

Enterprise
Periodic
Table
(EPT)
of
Business
Model
Elements:
10
QuesDons
For
Visually
Designing
and
Using
Tools
Such
as
Brainstorming,
Experiment
Board,
Business
Model
Canvas,
Lean
Canvas,
Value
Chain,
and
SIPOC
Process
Diagram
ELEMENT
ICON
DESCRIPTION
SYMBOL
THEME:
CUSTOMER
CS
PRODUCT
PS
CHANNEL
CH/CR
GOAL/JOB
JTGD
PROBLEM
Prob
VALUE
VP
INPUT
KP
INTERNAL
RESOURCES
KR
PROCESS
KA
SOLUTION
Soln
#BMYacht.
Dr.
Rod
King.
&
&
1
2
3
4
5
6
7
8
9
10

Goal
(Job
To
Get
Done):
………………………………..………………….
Problem
Pain:
(Un)Known
Customer
Segments
Processes/
AcKviKes
u LEARN
Big
Urgent
Market
Problem
(BUMP)
u MEASURE
Engagement/
Acquisi:on/Ac:va:on/
Reten:on/Referral/Revenue
Pretotype/Prototype/Pilot/
Full
Scale
#VCYacht.
Dr.
Rod
King.
&
&
RED
OCEAN
BLUE
OCEAN
SoluKon
Gain:
(Un)Known
COST
(STRUCTURE)
REVENUE
(STREAMS)
Value
Engine
(ProposiDon/Strategy)
Internal
Resources
Inputs/
Partners
Channels
&
RelaKon-‐
ships
Product/
Service
u BUILD
I
n
n
o
v
a
t
I
o
n
A
c
c
co
u
n
t
i
n
g
1
2
3
4
5
(Done)
(To
Do/Vision)
(Doing)
PROFIT

Cirque du Soleil's BLUE OCEAN STRATEGY: One-page Story of How Cirque du Soleil Used a Business Model Yacht to Sail to the Blue Ocean

More Related Content

What's hot

Similar to Cirque du Soleil's BLUE OCEAN STRATEGY: One-page Story of How Cirque du Soleil Used a Business Model Yacht to Sail to the Blue Ocean

More from Rod King, Ph.D.

Recently uploaded

Cirque du Soleil's BLUE OCEAN STRATEGY: One-page Story of How Cirque du Soleil Used a Business Model Yacht to Sail to the Blue Ocean