Blue Ocean Strategy

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Blue Ocean Strategy How to Create Uncontested
Market Space and Make the Competition Irrelevant
By W. Chan Kim Renee Mauborgne
Rebecca Sheranian California State University
Monterey Bay Dec 11, 2006
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(No Transcript)
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Creating Uncontested Market Space and Making the
Competition Irrelevant
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Red Ocean Strategy
Blue Ocean Strategy
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Summary of Blue Ocean Strategy

• New Market Space
• Continuing Creation of Blue Oceans
• Impact of Creating Blue Oceans
• Rising Imperative of Creating Blue Oceans
• From Company and Industry to Strategic Move
• Value Innovation
• Formulating and Executing Blue Oceans

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New Market Space
Creating Blue Oceans Is Consistent Across Time
Regardless of Industry
Continuing Creation of Blue Oceans
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Impact of Creating Blue Oceans
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• Rising Imperative of Creating Blue Oceans

• Driving forces include
• Technological advances improved industrial
  productivity
• Unprecedented array of products and services
  available
• Supply exceeds demand
• Globalization, niche markets and monopolies
  disappear
• 20th century strategy and management approach
  waning

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Formulating and Executing Blue Oceans
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From Company and Industry to Strategic Move
Value Innovation, Blue Oceans Cornerstone
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3 Things Ive Learned

• Blue Oceans arent always accepted at first
• Strategic Framework The Engelbart Connection
• Blue Oceans can be profitable

What I Disagree With
That there exists a strategic framework for Blue
Oceans. By nature they do not conform to one
framework
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How Relate to MSMIT

• Business environment is changing
• 20th century strategy management approach is
  changing

As red oceans become increasingly bloody,
management will need to be more concerned with
blue oceans than the current cohort of managers
is accustomed to.
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Questions?