Blue Ocean Strategy is a business concept that proposes companies are better off searching for ways to play in uncontested market spaces (Blue Oceans) rather than engaging with competition in existing industry boundaries (Red Oceans).
Blue Ocean Strategy, developed by W. Chan Kim and Renée Mauborgne, emphasises on creating and capturing new demand, and breaking the value-cost trade-off, to make the competition irrelevant. For example, Circue du Soleil implemented this strategy successfully. Instead of competing against other circuses, they created a new market that combined elements of theatre and circus, focusing on adults primarily, thereby, eliminating animal shows and star performers. As a result, they were able to offer unique value at a price considerably higher than traditional circuses.
The best way to beat the competition is to stop trying to beat the competition - W. Chan Kim and Renée Mauborgne
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