Assess the Blue Ocean Strategy
Mariam Peyton is a professional Financial Analyst. She holds a Masters degree in Economics. She specialises in financial analysis and forecasting. Her expertise includes studying the financial performance of companies, markets and entire industries looking for trends, insights and information that can help you glean rich insights for use in academic and market research.
Latest posts by Mariam Peyton (see all)
The Blue Ocean Strategy refers to an organized thinking of coming up with new market spaces and outspreading the boundaries of prevailing businesses. In general, the Blue Ocean strategy is commemorated by producing value innovation for the customers and the company. The blue ocean strategy offers a new market space and makes the competition seem inappropriate. This strategy may be a way of pursuing the untapped market space and creating a new market. The strategy helps in the breaking away of competition. This strategy defines just how to extend the industry boundaries. This essay will analyze the Blue Ocean strategy.
The blue ocean strategy is a business strategy that recommends creating new market spaces and value propositions that make the competition irrelevant. The strategy aims at achieving both differentiation and low cost, and it also creates unique market opportunities. This strategy is based on the idea that market boundaries and industry structure can be changed by the actions and beliefs of the players
The blue ocean strategy has a significant impact on businesses and industries, as it challenges them to innovate and differentiate themselves from their rivals. By creating new demand and offering unique value to customers, businesses can achieve higher growth and profitability, while avoiding the pitfalls of the red ocean, where competition is fierce and margins are low.
Businesses that adopt the blue ocean strategy need to have a clear vision, a strong culture of innovation, and a willingness to challenge the status quo. By doing so, they can create lasting competitive advantages and achieve sustainable success.
HARVARD
Citation Here
Citation Here
APA
Citation Here
MLA
Citation Here
CHICAGO
Citation Here
Assess the Blue Ocean Strategy A Case Study
Key Learning Outcomes
By the end of the case, students should be able to:
- Understand and discuss the key components of the Blue Ocean Strategy
- Understand the concept of Blue Ocean Strategy, what it is, how it works, and its importance in the success of an organization
- Apply Blue Ocean Strategy to a real company
1.0 INTRODUCTION
The Blue Ocean strategy is a business concept that recommends generating new markets and value propositions as an alternative to competing in the existing ones. The notion is to make the competition irrelevant by offering a good or service that customers want and need, but cannot find elsewhere. An example of companies that have utilized this strategy include; Netflix, Starbucks, and Cirque du Soleil. The term "Blue Ocean" denotes the vast and uncontested space of potential customers that are not served by any existing product or service.
This strategy was promoted by W. Chan Kim and Renée Mauborgne in their 2005 book "Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant". The book noted that most businesses function or operate in "red oceans", which means that they compete aggressively for a limited share of existing demand, resulting in lower profits and growth. The authors suggest that instead of following the conservative way of competing in existing markets, businesses should pursue "blue oceans" of unexploited demand, where they can create and capture new value for customers and themselves.
The Blue Ocean strategy is based on a number of principles such as;
Value innovation: This involves creating a leap in value for both customers and the company. Value innovation means offering a product or service that satisfies the customer's needs and wants, while also reducing or eliminating factors that are less important or irrelevant. This way, the company can create a unique value proposition that differentiates it from the competition and appeals to a large and diverse customer base.
Fair process: This is the principle of engaging and empowering people at all levels of the organization to participate in the formulation and implementation of the Blue Ocean strategy. Fair process means involving people in decision-making, explaining the rationale behind the decisions, and setting clear expectations and feedback mechanisms. By doing so, the company can foster trust, commitment, and voluntary cooperation among its employees, partners, and stakeholders.
The Blue Ocean strategy is a powerful and innovative way of thinking about business strategy that can help companies create sustainable competitive advantage and growth. However, it is not without its challenges and limitations. Some of the potential drawbacks of the Blue Ocean strategy are:
It requires a high level of creativity and risk-taking, which may not suit every company's culture or capabilities.
It may face resistance from internal and external stakeholders, who may be reluctant to change or adopt new ideas.
It may encounter legal or regulatory barriers, especially in highly regulated industries or markets.
It may not be easy to sustain or defend, as competitors may imitate or counterattack the blue ocean offering.
Therefore, companies that want to pursue the Blue Ocean strategy should carefully assess their own strengths and weaknesses, as well as their industry and market conditions, before embarking on this journey. They should also monitor their performance and feedback regularly, and be ready to adapt or revise their strategy as needed.
Cancel anytime…right from your account dashboard
NOT YET READY TO SUBSCRIBE? Try our other options below
Get a personalized on-demand assignment fast **
Purchase This Assignment On Demand
100% original custom written assignment
Zero plagiarism (checked via Copyscape)
Harvard/APA/AMA referencing
2250 words-(9 pages)
Price: £ 141.75
Services We are Offering
We are more than a free study and revision tool.
We also provide
on demand research and custom writing services.
123 Writing is the #1 exam revision and assignment study platform in the UK.
Get unlimited access to answered student essays, assignments, past exam questions and sample coursework written by qualified academic writers & tutors.
Our Standard subscription typically retails for £299.88 a year.
Today, you can join at 80% discount.
Here’s a full breakdown of everything you get as a Standard or Premium subscriber...
» Get access to our database of more than 5,770 answered premium strategy case studies
Get unlimited access to a robust database of premium business strategy case studies including more than 5,770 fully answered sample strategy frameworks and tools such as pestle, value chain, value matrix, porters five forces, Ansoff’s matrix, etc., authoritatively written and tailored for student revision, assignment preparation and transformative business research. Our strategy case studies are especially suited for university students wishing to apply strategic frameworks to real-world situations, company cases or simulations. All our strategy case studies come with teaching notes and learning outcomes, making them effective as coursework revision, and essay study help tools.
» Free access to past exam & assignment answers
Revise and prepare for exams and coursework with our fully answered exam notes and sample assignment papers. Furthermore, get quick on-demand answers to past exam question and assignment questions from our writers. Exam answer notes come with personalized lesson plans, and detailed study notes complete with detailed explanations of each answer, for maximum exam revision and assignment preparation. This tool is perfect for readers struggling with exam preparation & assignment study.
» Get extra assignment related help from our writers & tutors
Achieve high grades with a little extra assignment related support. Get extra help with your essays, assignments and general coursework, from our knowledgeable writers and tutors who will provide extra assistance when required for all academic related tasks including proofreading, grammar editing & correction, citations, referencing, etc. at no extra cost for standard and premium subscribers. All our standard and premium subscribers receive free proofreading services, which will include a check for punctuation, grammar, sentence formation, typographical errors, formatting, errors and other consistency issues (broadly).
» Get free assignment & essay writing help worth up to 7K words
Commission an on-demand essay, or assignment title from our knowledgeable writers and tutors on any subject matter. Get up to 7,000* words in on-demand custom assignment help from our writers who can assist with difficult topic in classical business literature. (* 7,000 free word credit exclusive to premium members).
» Fast & speedy answers to on-demand case solutions & assignment questions
Make use of your available free word credit (up to *7,000words) to commission on-demand custom case solutions, case study assignments and receive fast & speedy personalised answers. Receive timely and fast plagiarism-free answers to assignment questions or case solutions in as little as 1-2 business working days. Topics include Strategic Management, Marketing, Business Management, Economics, Operations Management, Organization Studies, International Business & Management, Human Resource Management and more. (* Exclusive to premium members).
» Get exclusive Q&A sessions with our subject matter writers
Ask our qualified, vetted and knowledgeable writers up to *12 essay, assignment and coursework related questions annually and receive accurate, clear, and detailed answers including step-by-step explanations briefs that are easy to follow. (*Exclusive to premium members).
» Free access to test bank questions & answers, study notes and practice quizzes
Test your knowledge on any subject with our quick quizzes and test banks for maximum retention after revision and studying. Test Bank contains questions in a variety of formats including multiple choice, true/false, short answer, and essay questions.
» Free access to video tutorials & study packs
Get free access to exclusive video tutorials to common subject topics. Our subject matter video tutorials, study notes and study packs have been created to help students learn and understand basic course module materials, as well as prepare students for their coursework assignment questions, essays and exams. Our video tutorials, study notes and study packs can be organized by topic, textbook or Question &Answer.
» Access to textbook chapter reviews and answer solutions
Get access to chapter reviews of popular business books, broken down in easy-to-understand simple concepts with simplified English. If English is not your first language, this service will make revising for essay assignments and exams as easy as 123 (Exclusive to premium members).
