Blue Ocean Strategy

What is Blue Ocean Strategy?

Blue Ocean Strategy is a business approach that emphasizes creating new markets with little to no competition, rather than competing in existing markets. It involves innovating to offer unique products or services that open up new demand. This strategy aims to make the competition irrelevant by carving out ‘blue oceans’ of uncontested market space.

Key Principles of Blue Ocean Strategy

• Value Innovation: Combining differentiation with cost reduction to create new market space.
• Focus on Noncustomers: Target people who are not currently using the industry’s offerings.
• Reconstruction of Market Boundaries: Break away from traditional industry limitations to create new opportunities.

Related Terms and Concepts

Market strategy, competitive advantage, innovation, value proposition