Blue Ocean Strategy Essay

Submitted By kjb76
Words: 383
Pages: 2

GROUP ASSIGNMENT: Make 2 lists and give summary at end. 1. Praises of the strategy 2. Criticisms of the strategy. Vote on team and decide.

Innovation- creativity is learnable
Theory and methodologies
Risk minimization
Analytical frameworks
Strategic alignment of the systems

What makes an innovation succeed/fail? Are there any similarities?
150 blue ocean creations more than 30 industries over 100 years

most companies are generally incremental improvements, small truly innovative moves. Smaller moves had huge profits. Much more room for profits with creativity.

Strategy military it’s about fighting over a piece of land that is fixed and constant. The gain of one army comes at the expense of the other one. 0 sum game, win and loss. Business terms market demand is a given, environmental conditions are a given. Demand, competitors start fighting over market demand. Market demand as a pie, aim to get a bigger slice of the pie. RED. Sharks in the ocean fighting for the same demand. Conventional competition based.

BLUE no rivals or competitors. Profitable growth, need to become creative.

Unsustainable cost structure
High fixed costs

STRATEGY CANVAS horizontal- industry believes is important to audience

Challenging what the industry believes in.
Look outside of the market to bring in “non-customers”
Strategic logic of all innovative moves that became successful
Eliminate what wasn’t important to the buyers, not the customers
Increased value for the buyers

Strategic alignment of all three propositions makes good blue ocean strategy- INNOVATION CAN BE GOOD.
Value proposition from buyers
Profit proposition
People proposition-