Red Ocean competition is based on market share and price wars from "summary" of Blue Ocean Strategy, Expanded Edition by W. Chan Kim,Renée A. Mauborgne
Red Ocean competition is a concept deeply ingrained in the business world. It is characterized by fierce competition in existing market spaces, where companies fight for market share and engage in price wars. In these crowded and bloody waters, companies are constantly battling each other for a larger piece of the pie, often resorting to cutting prices to attract customers. This intense focus on beating the competition leads to a zero-sum mentality, where one company's gain is another's loss. As a result, companies in red oceans are constantly looking over their shoulders, trying to defend their market position and prevent rivals from gaining an edge. This defensive mindset stifles innovation and creativity, as companies become too preoccupied with outdoing each other to think outside the box. Furthermore, the emphasis on market share and price wars in red oceans often leads to a race to the bottom, ...
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