The goal of this paper is to provide ‘Blue Ocean Strategies’ for five different products using the tools and techniques described in Kim and Mauborgne’s 2005 book “Blue Ocean Strategy.”
Product #1: Corn
Due to increasing health consciousness, mass produced genetically engineered corn is facing a lot of noncustomers including international export markets such as China and France (Bloomberg News, 2014, June 11, Deike, J., 2014, Mar, 17) and hence the blue ocean strategy for a corn farmer would be to:
1. Begin migrating towards organic farming in stages, due to the investment costs involved (Chase, C., Delate, K. and Johanns, A. M., 2011, July 1). For the inorganic side of the farm, focus on ...view middle of the document...
A massively scalable insurance marketplace so that people from various states can compare plans, calculate tax and subsidy savings, find nearest primary providers and finally sign up for their options of the best mandatory health plans (ideas from Big Data and Healthcare Payors, 2014).
2. Excellent US based customer service operations to ensure that queries, issues and technical issues are amicably solved in a timely manner.
3. Increase Insurance company participation so customers can benefit from price competition.
4. Introduce features like auto insurance, “Good Health refunds,” since this is a long term mandatory insurance, cost savings should be passed on to the customer.
5. A vigilance cell to monitor the transactions ensuring accurate premium pricing and preventing fraud.
6. Component level pricing calculators to boost confidence and transparency.
7. Increased presence of social networks to include community and gain valuable feedback.
With a rating score from 1 to 10 and the above data, the strategy canvas generated is Figure 2.
Product #3: Used Cars
A local car dealer selling used cars in Glenwood Springs, Colorado has to compete innovatively with a dozen existing used car sellers, but he does exist in a world famous tourist destination, so a blue ocean strategy to capture noncustomers would include the following:
1. Reducing the size of the dealership, since a high quality, fresh inventory is preferred, thus avoiding customer confusion and reducing maintenance and rent costs.
2. Selling certified premium used cars using improved diagnostics checkup systems.
3. Selling a good mix of select multi-segment cars to ensure a sale in downturns.
4. Adding custom fittings to select cars to build novel appeal, increase customer footfall.
5. Building an eBay like auction e-commerce site linking sellers and buyers to cars, thus avoiding costly shop parking space and mitigating risk with the value add of dealer verification (Sutton, R., 2007, Sept).
6. Renting and leasing a few select premium cars to ensure constant revenues capitalizing on the tourist location.
7. Ensuring transparent pricing with customers, thus word-of-mouth advertisements.
8. Increasing usage of social network sites for building brand awareness.
9. Changing shop interior to a family friendly lounge with a tasteful local décor from Glenwood Springs, thus capitalizing on community appeal.
10. Improving on after sales service thus personalizing the car buying experience.
With a rating score from 1 to 10 and the above data, the strategy canvas generated is Figure 3.
Product #4: Wearable communications technology: Google Glass
Google Glass is an exciting new patented product in the wearable communications technology market but privacy issues have hampered its selling potential (Google Glass., 2014, Sept 6) so building a blue ocean market strategy for this product would involve:
1. Avoiding targeting the public consumer market with the product as currently prototyped....