This post defines blue ocean strategy and explores a few examples while pointing out the five main risks of pivoting in the search for a. A blue ocean, as used in the title of this book and strategy, is basically uncharted territory in the business world. How to create uncontested market space and make the competition irrelevant by w. Its purpose is to identify a research theme and related issues in the existing literature for future research avenue. Principles of marketing blue ocean strategy 07 strategic. May 31, 2016 instead of fighting headon with your competitors, how do you create uncontested market space and make the competition totally irrelevant. Principles of marketing blue ocean strategy 07 free download as powerpoint presentation. This framework is very innovative, as its principles challenge the conventional business strategy principles of. Chan kim and renee mauborgne competing in overcrowded industries is no way to sustain high performance. Blue ocean strategy is a book published in 2005 and written by w.
This post defines blue ocean strategy and explores a few examples while pointing out the five main risks of pivoting in the search for a rich blue sea without competitors. Value innovation strategy competes in an uncontested market space. 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. Companies pursue blue ocean strategies to make competition irrelevant. Sep 24, 2017 in 2005, blue ocean strategy, expanded edition. Based on a study of 150 strategic moves spanning more than 100 years and 30 industries, blue ocean strategy addresses this question and provides a systematic approach to drafting and implementing your own blue ocean strategy. Blue ocean strategy notes matthew ellis business 109. I hereby declare that i worked out the diploma work asit applied. Blue ocean strategy is a business strategy book, first published on february 3, 2005 by the. May 30, 2017 t his month, we read blue ocean strategy by w. In this article you will learn how to make your competition irrelevant and have sales and profit. This framework is very innovative, as its principles challenge the conventional business strategy principles of fighting competitors headon.
Chan kim and renee mauborgne in their bestselling book of the same name. Chan kim and renee mauborgne and is the cornerstone of marketcreating strategy. The pdf download includes blue ocean strategy and examples. Instead of dividing up existingand often shrinkingdemand and benchmarking competitors, blue ocean strategy is about growing demand and breaking away from the competition. The four pillars of blue ocean leadership insead knowledge. How to create uncontested market space and make the competition irrelevant w. We believe that blue ocean strategy will send you on the right path towards creating your own uncontested space. They assert that these strategic moves create a leap in value for the company, its buyers, and its employees while unlocking new demand and making the competition irrelevant. Summary of the first four chapters of the international bestseller blue ocean strategy. To join the free indie business book club, click here. Essay about blue ocean strategy 825 words 4 pages blue ocean strategy paper adel erolsky university of phoenix mkt421 ron rosalik august 25, 2014 blue ocean strategy paper in todays business world, competition is a big concern for nearly every corporation. Set sail towards your blue ocean jk beteiligung gmbh. Blue ocean strategy is a landmark idea founded by w. Value innovation is the simultaneous pursuit of differentiation and low cost, creating a leap in value for both buyers and the company.
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. Achieved via the delivery of features that have a highest marginal benefit to customer needs. How to create uncontested market space and make the. I was pleased to be a part of a committed team in 2012 bringing service nsw to life, tasked with. 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.
A version of this article appeared in the october 2004 issue of harvard. Blue ocean strategy hbr bestseller harvard business publishing. The real opportunity is to create blue oceans of uncontested. Blue ocean strategy is a difficult concept to apply in practice. They are the authors of blue ocean strategy, which has sold over 3. Its authors, insead professors w chan kim and renee mauborgne, continued their steady progress up the thinkers50 list, finishing second to christensen this year.
Chan kim and renee mauborgne in the indie business book club. Blue ocean strategy is a marketing theory and the title of a book published in 2004 that was written by w. But, contrary to the approach of ocean strategy, should do so by thinking about market environment shifts, how these could impact customer sets, and whether those. A company will have more success, fewer risks, and increased profits in a. The goal of a blue ocean strategy is for organizations to find and develop blue oceans uncontested, growing markets and avoid red oceans overdeveloped, saturated markets. Blue ocean strategy and sustainability for strategic management. Blue ocean strategy is a method of creating business strategy of the enterprise, which was described in a book by w. Chan kim and renee mauborgne, published by harvard business school press, boston, massachusetts, 2005, isbn 97815996192. Download blue ocean strategy pdf including examples. Chan kim is a professor of strategy and management at insead and codirector of the insead blue ocean. While the book is aimed primarily at large, traditional businesses, our book club members managed to. Click the link above or the picture below to read more.
Chan kim and renee mauborgne are professors of strategy at insead and codirectors of the insead blue ocean strategy institute. The blue ocean strategy book has been sold over 3,5 million times, was published in 43 languages and is a bestseller across five continents. 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. Essay about blue ocean strategy 825 words bartleby. 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. This article explains the blue ocean strategy, developed by w. The competition on the market is getting stronger and more difficult to overcome. In a few cases, companies can give rise to completely new industries, as ebay did with the online auction industry. Chan kim and renee mauborgne, professors at insead. Download a pdf of this article and check back next tuesday for how to see your leadership reality. The strategic logic of high growth for small and medium enterprises.
The blue ocean strategy bos is the strategic organizational approach that is based on the principle that companies should not engage in a competitive struggle but that. 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. Tru group inc blue ocean strategy belongs in the dead sea. It was built on the notion of creating new markets where competition is irrelevant and the opportunity to grow and be. There is ample opportunity for growth that is both profitable and rapid. Blue ocean strategy makes companies to come out of ocean of bloody competition by creating market space which is uncontested and that makes the completion irrelevant.
Innovation, new market space and creating demand are central characteristics. Blue ocean strategy is a growth strategy framework focused on the idea of creating an uncontested market spacei. Sep 23, 2014 download a pdf of this article and check back next tuesday for how to see your leadership reality. They represent businesses that may not be around today, or werent around until they came on to the scene. Blue ocean strategy paper adel erolsky university of phoenix mkt421 ron rosalik august 25, 2014 blue ocean strategy paper in todays business world, competition is a big concern for nearly every corporation. Furthermore the blue ocean strategy was awarded with. Since, dividing up existing demand and benchmarking the competitors, blue ocean strategy is. So powerful is blue ocean strategy, in fact, that a blue ocean strategic move can create brand.
How to create uncontested market space and make the competition irrelevant, a book by professors w. The risks of following a blue ocean strategy the adaptive. Red ocean in blue oceans, demand is created rather than fought over. But in most cases, a blue ocean is created from within a red ocean when a company.
The book titled blue ocean strategy is not helpful to management dont buy it and if you already have it dump it. Blue ocean strategy and sustainability for strategic. Red ocean is older and known including things such as competition, rules, and market dynamics. To read a more lengthy, in depth article on the blue ocean strategy go to. So powerful is blue ocean strategy, in fact, that a blue ocean strategic move can create brand equity that lasts for decades. Management can and should be visionary in formulating strategy.
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. 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. Blue ocean strategy has helped numerous companies and organisations across the globe to create new market space and achieve pro. To understand the nature of cirques achievement, you have to realize that the busi. Blue ocean strategy is a strategy that advice companies. Matthew ellis business 109 section 22 10112015 professor jasso citation. The real opportunity is to create blue oceans of uncontested market space. How to create uncontested market space and make the competition irrelevant, a book by professors. Blue ocean strategy including examples and pdf download. Welcome to blue ocean strategy were thrilled to have you on board. After reading you will understand the basics of this powerful strategy tool what is the blue ocean strategy.
Based on a study of 150 strategic moves spanning more than 100 years and 30 industries, blue ocean. It requires the right research, patience and focus. This blog article is a overview of some of the key points of the book by w. May 26, 2015 summary of the first four chapters of the international bestseller blue ocean strategy. Kim wc and mauborgne r 2004 blue ocean strategy harvard.
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