Blue Ocean Strategy encourages companies to innovate beyond current industry boundaries from "summary" of Blue Ocean Strategy with Harvard Business Review Classic Article “Red Ocean Traps” (2 Books) by W. Chan Kim,Renée A. Mauborgne
Blue Ocean Strategy challenges companies to break away from the cutthroat competition that characterizes the traditional "red ocean" of existing market space. Instead of battling head-to-head with rivals in overcrowded industries, companies are urged to seek out uncontested market spaces where competition is irrelevant. By expanding their horizons beyond current industry boundaries, companies can discover new opportunities for growth and innovation. This approach requires companies to think outside the box and explore uncharted territory. Rather than simply trying to outperform competitors in the same market space, companies are encouraged to create new market spaces that are free from competition. This means redefining the boundaries of their industry and exploring new ways to deliver value to customers. In order to succeed in creating a blue ocean strategy, companies must be willing to challenge traditional assumptions and explore unconventional ideas. This may involve rethinking their business model, value proposition, target customers, or even the definition of their industry. By pushing the boundaries of what is possible, companies can unlock new sources of value and differentiate themselves from competitors.- Companies can tap into new sources of demand and create a sustainable competitive advantage. This approach allows companies to escape the constraints of traditional industry norms and carve out a unique position for themselves in the market. Ultimately, the goal of a blue ocean strategy is to create a new market space that is ripe for growth and profitability.
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