8 Key Points of Blue Ocean Strategy
Chan Kim & Renée Mauborgne coined the terms red and blue oceans to denote the market universe. Red oceans are all the industries in existence today – the known market space, where industry boundaries are defined and companies try to outperform their rivals to grab a greater share of the existing market. Cutthroat competition turns the ocean bloody red. Hence, the term ‘red’ oceans.
Blue oceans denote all the industries not in existence today – the unknown market space, unexplored and untainted by competition. Like the ‘blue’ ocean, it is vast, deep and powerful –in terms of opportunity and profitable growth.
The chart above summarizes the distinct characteristics of competing in red oceans (Red Ocean Strategy) versus creating a blue ocean (Blue Ocean Strategy).
Generate New Ideas
Has your business hit a wall at squeezing efficiency out of your business? Blue Ocean Strategy is the systematic way of unlocking uncontested market spaces, helping you to build an innovative culture and thinking about your business in a really different way so that you can take your business to the next level. Whether you’re an army of 10, 000 employees or a business with only 2 people, you’ve still got to be able to grow your business by innovating the market place.
How do you really dominate in the market place? Most people are taught that you get into business and that you fight for competitive advantage, that you try to battle for some portion of the market share. The truth about head to head battles is that the approach is totally unsustainable. What you really want to do is factor in much larger audiences and to deliver your product/service in ways that have never been done before. Advantex360 takes your business to where demand is created rather than fought for!
Looking for new growth opportunities? If you do what everybody else does and you do it better than everybody else, you will gain a tiny competitive advantage however, if you do something no one else is doing in your space you will achieve a geometric advantage. By steering your business vessel with blue ocean strategies you can open up a space where you can dominate your market and really propel your business to achieve outstanding results.