Blue Ocean Strategy, a book by Renée Mauborgne and W. Chan Kim, is essential for anyone looking to stay ahead of the competition. It provides insights into creating uncontested market space and making the competition irrelevant. By analyzing successful examples of companies that have gone beyond competing in existing markets to creating new ones, the authors offer valuable strategies for companies looking to create value innovation.
The book is divided into three parts: The Introduction, Core Concepts and Tools, and The Conclusion. In The Introduction, the authors explain their perspective on strategy and provide an overview of the Blue Ocean Strategy framework. They also explain why traditional strategic approaches are no longer practical and why creating a blue ocean is essential for success in today’s business environment.
The Core Concepts section introduces readers to four fundamental principles which form the basis of the Blue Ocean Strategy: Eliminating/Reducing Factors, Raising/Creating Factors, Creating a “buyer experience”, and aligning the entire system of factors. The authors then explain how these principles can be applied practically through different value innovation techniques, such as creating a strategic canvas, pricing frameworks, customer segmentation, customer experience mapping, etc.
Finally, in their Conclusion section, Mauborgne and Kim discuss how companies can use these techniques to develop successful blue ocean strategies and measure their success over time. They also provide case studies illustrating how some of today’s leading organizations have used this approach to transform themselves into industry leaders.
Overall, The Blue Ocean Strategy is an invaluable resource for those looking to stay ahead by creating new markets instead of competing in existing ones. It provides practical advice on how companies can develop a compelling value innovation strategy through detailed explanations and easy-to-follow tools & frameworks.
