BLUE OCEAN STRATEGY
Blue Ocean Strategy
Blue ocean strategy is a marketing book by W. Chan Kim and Renee Mauborgne in the year 2005. The book mostly borrows from a range of over 140 strategic marketing moves within a period of over a century. The book succeeds in showing how businesses, can outdo their competitors. Not because of battling them, rather, because of what the authors refer to as blue oceans, which consists of uncontested market space.
The book gives a detailed outline of how companies should engage each other in the market wars while maintaining and bringing on board new customers. They successfully do so by presenting tools for the implementation of a successful marketing strategy, and the determination of blue oceans (Kim & Mauborgne 2005). They also review a pool of strategies used while analyzing their strengths and weaknesses. These moves create what scholars refer to as, value innovation. Under a strategy that makes competitors almost inactive, by a process of creating new demand.
In the present times, most industries are experiencing an influx in the number of companies that seek to provide identical products. They engage each other in tight competition, for profits and business growth, thus, translating into a marketing war determined by differentiation. Blue ocean strategy focuses mainly on six principles that it views as key in formulating and executing successful blue ocean strategies. These principles give a clear guideline on how to, achieve a strategic sequence, deal with organizational challenges, reconstruct market boundaries, attain markets beyond existing demand, focus on the larger market and how to successfully incorporate execution into strategy.
The analytical framework presented in the book. Has undergone research at the Harvard business review, over a period spanning over fifteen years. The two authors emphasize the fact that, members in these industries should not cry foul over monopolies of markets. Rather, there is space for new entrants daily (Kim & Mauborgne 2005). The only thing required is to walk through the challenge of conceptualizing, blue oceans, in a smart and responsible way. As there are neither permanent, excellent companies nor industries. To achieve profits through blue oceans, it is essential that the company conduct a self-analysis of steps that had desired returns, and the way of simulating them systematically, over a repeated period to achieve Blue Ocean opportunities.
Most marketing executives would argue that blue ocean opportunities are depleted in the modern world. It is fascinating to note that the universe is dynamic, and markets are expanding over time, thus, creating new opportunities each, and every day. Not only does the framework in the book try to give a solution to the analytical concepts that...