Learn about Red Ocean Strategy and how it differs to blue ocean strategy. Understand the advantages and disadvantages and examine examples. Blue Ocean Strategy is where a company creates a completely new market space (or market category). This new market space is created by The Red Ocean is where every industry is today. There is a defined market, defined competitors and a typical way to run a business in any specific industry. The Blue Ocean, on the other hand, is calm, smooth, with lots of food and little or no competition. This is where everyone would like to be and it is Blue ocean strategy is the simultaneous pursuit of differentiation and low cost to open up a new market space and create new demand. It is about creating and capturing uncontested market space, thereby making the competition irrelevant. It is based on the view that market boundaries and industry Creating blue oceans builds brands. So powerful is blue ocean strategy, in fact, that a blue ocean strategic move can create brand equity that lasts In those red oceans, companies try to outperform rivals to grab bigger slices of existing demand. As the space gets increasingly crowded, profit and 1. Blue Ocean Strategy How to Create Uncontested Market Space and Make the Competition Irrelevant Facilitators : Yip Khai Biau (ymike27@hotmail.com) 6. Defining Red and Blue Ocean What's Red, What's Blue? Red Ocean Strategy Blue Ocean Strategy •• Compete in existing market A red ocean strategy involves competing in industries that are currently in existence. This often requires overcoming an intense level of competition and One industry in which a red ocean strategy would be necessary is the soft drink industry. This industry has been in existence for a long time, and Blue Ocean Strategy is a book published in 2004 written by W. Chan Kim and Renee Mauborgne, professors at INSEAD, and the name of the marketing theory detailed on the book. «Стратегия голубого океана» (англ. Blue Ocean Strategy) — книга по стратегии бизнеса, изданная в 2005 году, авторы: Ким Чан и Рене Моборн из Института Стратегии голубого океана из INSEAD, европейской топ-бизнес-школы. Blue Ocean Strategy (BOS) is a management concept which prescribes that organizations, rather than going head-to-head with competitors, try to Blue oceans denote all the industries not in existence today. This is the unknown market space. In the red oceans, industry boundaries are defined and Blue Ocean Strategy presents a systematic approach to making the competition irrelevant and outlines principles and tools any organization can use to create and capture their own blue oceans. This expanded edition includes: - A new preface by the authors: Help! My Ocean Is Turning Red Blue Ocean Strategy is a Growth Strategy framework focused on the idea of creating an uncontested market space—i.e. a "blue ocean." This framework is very innovative, as its principles challenge the conventional business strategy principles of fighting competitors head-on. The Blue Ocean Strategy