Reconstruct your industries boundaries to find new markets

Reconstruct your industries boundaries to find new markets

Blue Ocean Articles
In today's final red ocean trap, we learn that some believe that blue ocean strategy is synonymous with creative destruction or disruption. This is actually not the case. In the case of disruption or creative destruction, we see a displacement of a previous offering. The horse and its staff of caretakers was displaced by the automobile and its completely alternative supply chain. The traditional retailer has in great part been displaced by Amazon. While there are blue ocean elements to those industries they were destructive of the previous industries with their displacement characteristics. Blue ocean strategy is not predicated on displacement or destruction of markets. One classic example of success used in Blue Ocean Strategy, How to Create Uncontested Market Space and Make the Competition Irrelevant is Viagra. This "lifestyle"…
Read More
Competition can be great for the best companies.

Competition can be great for the best companies.

Blue Ocean Articles
I bet you've heard it before. A young man has a great idea. He's presenting his deck to a group of potential investors. He's asked, "Who is your competition?" He answers, "We don't have any competition." I've learned to instantly discount his idea at this point. There are some occasional arenas where innovation and disruption lead to an absence of competition but it is very rare. Blue ocean does not see competition as bad. It doesn't see it as always good. Competition leads to opportunities. The tradition view of companies is to beat competitors. Beat them at price, service, product offerings, speed, etc. In most cases, competition simply leads non blue ocean thinking companies to commoditize their offerings by lowering price or lowering value. Blue ocean strategy leads strategists to…
Read More