A blue ocean, as used in the title of this book and strategy, is basically uncharted territory in the business world. Chan kim is a professor of strategy and management at insead and codirector of the insead blue ocean. In this article you will learn how to make your competition irrelevant and have sales and profit growth in excess of anything you thought was even possible. Howto create uncontested market space and make the competitionirrelevant this is a great books that i think are not only fun toread but also very educational. Its purpose is to identify a research theme and related issues in the existing literature for future research avenue. The risks of following a blue ocean strategy the adaptive.
Tru group inc blue ocean strategy belongs in the dead sea. While the book is aimed primarily at large, traditional businesses, our book club members managed to scale some of the advice to fit our needs. Blue ocean strategy including examples and pdf download. Instead of dividing up existingand often shrinkingdemand and benchmarking competitors, blue ocean strategy is about growing demand and breaking away from the competition. The most appropriate unit of analysis is the strategic move, the set of managerial actions and decisions involved in making a major marketcreating business offering.
Blue ocean strategy for small businesses fundbox blog. It is about creating and capturing uncontested market space, thereby making the competition irrelevant. Blue ocean strategy basically refers to the overall creation by an organization of a new, unique and an uncontested market space that is developed to make the competitors irrelevant and it also creates new consumer value while also decreasing the cost. Value innovation strategy competes in an uncontested market space. Published in 2004, blue ocean strategy has become a. Our multimedia cases and interactive exercises are designed to help you build a deeper understanding of key blue ocean strategy concepts, developed by worldrenowned professors chan kim and. There is ample opportunity for growth that is both profitable and rapid. Apply the logic of blue ocean strategy to an organisation with which you are familiar. Chan kim and renee mauborgne are professors of strategy at insead and codirectors of the insead blue ocean strategy institute. Matthew ellis business 109 section 22 10112015 professor jasso citation. Blue ocean strategy notes matthew ellis business 109.
Blue ocean strategy is a method of creating business strategy of the enterprise, which was described in a book by w. In red oceans, there is a competitiveadvantage worldview, companies are often driven to outperform rivals and capture greater shares of existing or shrinking market space. It is based on the view that market boundaries and industry structure are not a given and can be. Children, the mainstay of the circus audience, preferred. How to implement blue ocean strategy hbr store harvard. Red ocean in blue oceans, demand is created rather than fought over. How to create uncontested market space and make the competition irrelevant, 8. Instead, create a new marketplace for your business that allows you to write the rules.
Blue ocean strategy case study service nsw 2 foreword service nsw is an important initiative in the delivery of an improved customer experience for the citizens and businesses of new south wales. Blue ocean leadership is designed to be applied across the three distinct management levels. But in most cases, a blue ocean is created from within a red ocean. May 30, 2017 t his month, we read blue ocean strategy by w. Competing in overcrowded industries is no way to sustain high performance. Blue ocean pedagogical materials, used in over 2,800 universities and in almost every country in the world, go beyond the standard casebased method. Blue ocean strategy generally refers to the creation by a company of a new, uncontested market space that makes competitors irrelevant and that creates new consumer value often while decreasing costs. Blue ocean strategy is a landmark idea founded by w. Pdf harvard business school press blue ocean strategy. Instead of dividing up existingand often shrinkingdemand and benchmarking competitors, blue ocean strategy is about growing demand and breaking. The real opportunity is to create blue oceans of uncontested market space. Blue ocean strategy and sustainability for strategic management. The insead blue ocean strategy institute is dedicated to extending the research on blue ocean shift, blue ocean strategy, and blue ocean leadership by chan kim and renee mauborgne and disseminating it to professors, researchers and practitioners around the globe. Hsu professor yeh chihchung may, 2007 blue ocean strategy.
To understand the nature of cirques achievement, you have to realize that the busi. This framework addresses not only the analytic aspects behind the creation of blue ocean strategy but also the allimportant human aspects of how to bring an organization and its people on this journey with a willingness to execute these ideas in. View the entire blue ocean leadership series here w. Those types of oceans are blood free and lead to easy, safe sailing. The book titled blue ocean strategy is not helpful to management dont buy it and if you already have it dump it. Stop competing in overcrowded industries and focus instead on making the competition irrelevant. Chan kim and renee mauborgne in the indie business book club. Heres a look at the basic premise of blue ocean strategy, and how you can apply it to your small business strategy. Chan kim and renee mauborgne in their bestselling book of the same name. Profitworks is a company built on the values of integrity, hard work, doing things better than they have ever been done before and the utmost. How to create uncontested market space and make the competition irrelevant w. Achieved via the delivery of features that have a highest marginal benefit to customer needs. 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. It was built on the notion of creating new markets where competition is irrelevant and the opportunity to grow and be profitable is unlimited.
The result is that in more and more industries, supply is. 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. The concept of blue ocean is based on the idea that the business universe is made up. Sep 23, 2014 download a pdf of this article and check back next tuesday for how to see your leadership reality. Find your space in the blue oceanand build your blue ocean. Blue ocean strategy is a strategy that advice companies. How to create uncontested market space and make the competition irrelevant by w. Library of congress cataloginginpublication data kim, w. Blue ocean strategy is a book published in 2005 and written by w. So powerful is blue ocean strategy, in fact, that a blue ocean strategic move can create brand equity that lasts for decades. Download blue ocean strategy pdf including examples. This framework is very innovative, as its principles challenge the conventional business strategy principles of fighting competitors headon.
Jul 16, 2015 the blue ocean strategy is a reconstructionist view of the market where no accepted boundaries or structure is present. Critique of blue ocean strategy by tru group inc strategy consultants ocean strategy, red or blue, belongs in the dead sea. Instead of dividing up existingand often shrinkingdemand and benchmarking competitors, blue ocean strategy is about growing demand and breaking away from the. I was pleased to be a part of a committed team in 2012 bringing service nsw to life, tasked with. Chan kim and renee mauborgne, published by harvard business school press, boston, massachusetts, 2005, isbn 97815996192. This blog article is a overview of some of the key points of the book by w. It calls for profiles for leaders that are tailored to the very different. Blue ocean strategy is a growth strategy framework focused on the idea of creating an uncontested market spacei. Blue ocean strategy, expanded edition harvard business publishing.
Jun 22, 2016 however, the blue ocean strategy takes a different view. Chan kim and renee mauborgne, it sold more than a million copies within its first year of publication and has been translated into 39 languages, breaking harvard publishing records as the fastest selling book in print. Essay about blue ocean strategy 825 words bartleby. Blue ocean strategy case solution and analysis, hbr case. The structure can be created or recreated by the steps taken by players in the market. Blue ocean strategy is the simultaneous pursuit of differentiation and low cost to open up a new market space and create new demand.
Blue ocean strategy is based on the idea that every enterprise can achieve higher profit by creating new demand in noncompetitive market so called blue ocean. Complete solutions manual general chemistry ninth edition ebbinggammon david bookin mt. Companies pursue blue ocean strategies to make competition irrelevant. Sep 24, 2017 opinions expressed by forbes contributors are their own.
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