These blue oceans document new markets and new opportunities.įurthermore, it is surprising that ‘blue oceans’ are already used and applied unconsciously by strategists in the current strategies. The basic principle of Blue Ocean Strategy is to map out, in addition to the (already) known markets (‘red oceans’), the ‘blue oceans. This strategic move provides value development both for the organizations themselves and for potential buyers. Its counterparts are called bloody red oceans. Chan Kim and Renée Mauborgne contend that future leading companies are likely to succeed by targeting uncontested markets that are ready for growth and development. Blue Ocean Strategy was followed by the book Blue Ocean Shift, by both Chan Kim and Mauborgne, professors of strategy.ĭo you want unlimited ad-free access and templates? Find out more Chan Kim and Renée Mauborgne and is based on a study of 150 strategic moves in the course of one hundred years and over 30 industries like Apple, Cirque Du Soleil, Yellow Tail and Air Asia. The Blue Ocean Strategy (BOS) is the strategic organizational approach that is based on the principle that companies should not engage in a competitive struggle and experience market boundaries, but that they should focus more on uncontested markets.īlue Ocean Strategy has been developed by W. After reading this article, you will understand the basics of this powerful strategy tool. It concludes with advantages, disadvantages and principles of Blue Ocean Strategy. It furthermore provides the Blue Ocean Strategy Canvas and explains what the 4 Actions Framework is. It covers what Blue Ocean Strategy is, how it compares to Venture Strategy and Red Ocean Strategy, and what the role of value innovation is. Chan Kim and Renée Mauborgne, in a practical way. Blue Ocean Strategy: this article explains the Blue Ocean Strategy (BOS), developed by W.
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