Let me try to explain this in simple terms for the benefit of everyone. You must keep in mind that there is a deeper potential of the marketplace that hasnt been explored yet. Blue ocean strategy is a book published in 2005 and written by w. Blue ocean strategy is a collection of wisdom, systematic process and framework which were formulated after extensive management research and studies of companies that exhibit characteristics of certain management principles that help these compa. Each industry underwent continuous upheaval, each time spurred by a blue ocean strategy that 1 reduced factors unimportant to buyers, 2 increased factors important to buyers, 3 expanded the market. In a business context, it is inevitable that one of the main words one would hear is competition. Sep 10, 20 as we begin our dive into the blue ocean strategy, it is important to understand what most businesses do, and why it doesnt work. Blue ocean strategy, page 47 based on their research, kim and mauborgne found six approaches to reconstructing market boundaries which, collectively, are known as the six paths framework. How to create uncontested market space and make the competition irrelevant audiobook by w. Blueoceanstrategie, blueoceanstrategy, redoceanstrategie, vergleich redocean vs blueocean. The first principle of blue ocean strategy is to reconstruct market boundaries to break from the competition and create blue oceans.
Chan kim and renee mauborgne, professors at insead and codirectors of the insead blue ocean strategy institute. Intelligent readers dont need help figuring that out. Chan kim and renee mauborgne focused on discovering the common factors that lead to the creation of blue oceans and the key differences that separate those winners from the mere survivors and those adrift in the red ocean. Chan kim and renee mauborgne in their bestselling book of the same name. Pdf blue ocean strategy download full pdf book download. Buy blue ocean strategy, expanded edition revised ed. 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. May 30, 2017 to join the free indie business book club, click here. Blue ocean vs red ocean strategies 6 major differences.
Nov 15, 20 blue ocean is an analogy to describe the wider, deeper potential of market space that is not yet explored. Blue ocean strategy is a business strategy book, first published on february 3, 2005 by the harvard business school press. The majority of businesses practice some form of the red ocean 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. Blue ocean strategy is a marketing theory and the title of a book published in 2004 that was written by w. Blue ocean strategy makes sense in a world where supply exceeds demand overcapacity the cornerstone of blue ocean strategy is value innovation. Blue ocean strategy is where a company creates a completely new market space or market category. Value innovation strategy competes in an uncontested market space. Chan kim and renee mauborgne, are both prominent professors at insead in fontainebleau, france. Recognized as one of the most iconic and impactful strategy books ever written, blue ocean strategy, now updated with fresh content. How to create uncontested market space and make competition irrelevant, is a market space that is undeveloped, and untapped by competitors. Blue ocean strategy is the most successful book on business master. The strategy will help you tremendously, even if you have nothing to do with business development. Based on a study of 150 strategic moves spanning more than 100 years.
Chan kim and renee mauborgne professors at insead and codirectors of the insead blue ocean strategy institute. In this article, we will help you find the bridge by recommending the top 10 best strategy books. The premise of the book is that companies can succeed by creating. Recognized as one of the most iconic and impactful strategy books ever written, blue ocean strategy, now updated with fresh content from the authors, argues that cutthroat competition results in nothing but a bloody red ocean of rivals fighting over a shrinking profit pool. Why things catch on by jonah berger, thinking, fast and slow by daniel kahneman, how brands grow. A global bestseller and one of the best business strategy books available, blue ocean strategy challenges everything you thought you knew about strategic.
Chan kim and renee mauborgne, professors at insead. Seminar paper from the year 2008 in the subject business economics business management, corporate governance, grade. 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 is either when businesses enter an oversaturated marketplace, or they simply defend. Blue ocean strategy, the global phenomenon that has sold over 4 million copies and is recognized as one of the most iconic and impactful strategy books ever written, argues that cutthroat competition results in nothing but a bloody red ocean of rivals fighting over a shrinking profit pool. How to create uncontested market space and make the competition irrelevant from the worlds largest community of rea. They have seen that the trouble lies in managers mental modelsingrained assumptions and. Chan kim and renee mauborgne in the indie business book club. A red ocean strategy ultimately leads to an organization choosing to follow one of two strategies differentiation or low cost. Everyday low prices and free delivery on eligible orders. The authors of the bestselling blue ocean strategy have spent over a decade exploring that question.
It was clear from the outset that the authors were on to something special. Blue ocean shift is the essential followup to blue ocean strategy, the classic and over 4 million copy global bestseller by worldrenowned professors chan kim and renee mauborgne drawing on more than a decade of new research, blue ocean shift is the definitive guide to help you move beyond competing, inspire your peoples confidence, and seize new growth. They are the authors of blue ocean strategy, which has sold over 3. Achieved via the delivery of features that have a highest marginal benefit to customer needs. Recognized as one of the most iconic and impactful strategy books ever written, blue ocean strategy, now updated with fresh content from the authors, argues. A good example of red ocean strategy is the european airline operator ryanair or southwest if you like in the. The blue ocean strategy was published in 2005 and authored by w. To understand red ocean strategy let us begin by defining blue ocean strategy. How to create uncontested market space and make the competition irrelevant book online at best prices in india on.
Whichever is chosen the organization must align all activities with one of these strategic directions. Blue ocean strategy is based on over decadelong study of more than 150 strategic moves spanning more than 30 industries over 100 years. Blue ocean strategy proposes that businesses can have more success by creating a blue ocean, rather than trying to compete in the red ocean. Jun 02, 2016 blue ocean vs red ocean strategies 6 major differences red bull case study published on june 2, 2016 june 2, 2016 92 likes 5 comments. Is the blue ocean strategy book really a new approach or is. Mar 10, 2015 back in 2008, i wrote a paper on blue ocean strategy which was published at the international conference on management. The first part presents key concepts of blue ocean strategy, including value. In this summary, well give a synopsis of the key concepts, tools and tips from the book.
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. How to create uncontested market space and make the competition irrelevant unabridged by kim, w chan, mauborgne, renee isbn. Instead of dividing up existingand often shrinkingdemand and benchmarking competitors, blue ocean strategy is about growing demand and breaking away from the competition. This new market space is created by launching new offerings, with the aim being to make the competition irrelevant so that an organization can grow, uncontested, at least in the beginning. Compete in existing market space create uncontested market space beat the competition make the competition irrelevant exploit existing demand create and capture new demand make the valuecost tradeoff break the valuecost tradeoff align the whole system of a firms activities with its strategic choice of differentiation or low cost. Sarah layton in blue ocean strategy on april 21, 2009. How to create uncontested market space and make the competition irrelevant, a book by professors w.
Blue ocean strategy including examples and pdf download. A blue ocean strategy is based on creating demand that is not currently in existence, rather than fighting over it with other companies. How to create uncontested market space and make the competition irrelevant, w. In a book that challenges everything you thought you knew about the requirements for strategic success, w.
Of course, the blue ocean approach to this model would call. While this came in appendix a in the book, this is a good time to cover three industries with repeated blue ocean creation. 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. This blog article is a overview of some of the key points of the book by w. Chan kim renee mauborgne and a great selection of related books, art and collectibles available now at. Blue ocean strategy the blue ocean approach is a strategic tool that helps innovation strategists asses current and desired future strategic states whereasred ocean is a current state. Chan kim and renee mauborgne are professors of strategy at insead and codirectors of the insead blue ocean strategy institute. This book by sean covey, chris mcchesney and jim huling is the most straightforward and practical book on this list. Based on a study of 150 strategic moves spanning more. Apr 21, 2009 blue ocean strategy, outlines the processes of removing the fight for competitive advantage and the battle for differentiation typical of many corporate strategies. 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. Inside business 360,united states if you are still wondering whether to pick up a copy of blue ocean strategy, we.