Blue Ocean Strategy
Blue Ocean Strategy
MKT/421
August 11, 2014
Blue Ocean Strategy
The Blue Ocean Strategy is a slang term for the uncontested market space for an unknown industry or innovation (Investopedia, 2014). Take the circus industry, for example, its appeal is in rapid decline as technology becomes more interesting than seeing chained animals perform. When the circus first came out, it was the 1700 where no one had ever seen performances of its kind. Now the traditional circus’s audiences are in decline, but the increase of unwanted attention, such as animal rights activists, remains. In 1984, former circus performer Guy Laliberte and a group of other street performers founded Cirque du Soleil, which takes the circus industry to all new heights (Kim & Mauborgne, 2004). Cirque du Soleil is a different take on the traditional circus without animals. It takes the circus industry to a whole new level increasing the interest of adults rather than focusing more on children with their breathtaking acrobatics without completely competing with circuses such as Ringling Brothers and Barnum & Baileys. This is the Blue Ocean Strategy.
The importance of the blue ocean strategy is significant to those businesses who want to stand out above the rest in its industry. Apple has a plethora of products to choose from like computers (desktops and laptops), cell phones, and tablets, which other companies have but Apple stands out above those ‘like’ businesses with their distribution of music via iTunes. Apple’s iTunes are the only digital music distributor; well it may as well be because nothing else can compare although some businesses like Amazon try. If you think about, to access successful and complete songs, albums, etc., iTunes is the place to go. Netflix is another example of Blue Ocean. Netflix streams many movies, TV shows, and documentaries without a real competitor. It is a cheap and easily accessible business that was the first to compete with
MKT/421
August 11, 2014
Blue Ocean Strategy
The Blue Ocean Strategy is a slang term for the uncontested market space for an unknown industry or innovation (Investopedia, 2014). Take the circus industry, for example, its appeal is in rapid decline as technology becomes more interesting than seeing chained animals perform. When the circus first came out, it was the 1700 where no one had ever seen performances of its kind. Now the traditional circus’s audiences are in decline, but the increase of unwanted attention, such as animal rights activists, remains. In 1984, former circus performer Guy Laliberte and a group of other street performers founded Cirque du Soleil, which takes the circus industry to all new heights (Kim & Mauborgne, 2004). Cirque du Soleil is a different take on the traditional circus without animals. It takes the circus industry to a whole new level increasing the interest of adults rather than focusing more on children with their breathtaking acrobatics without completely competing with circuses such as Ringling Brothers and Barnum & Baileys. This is the Blue Ocean Strategy.
The importance of the blue ocean strategy is significant to those businesses who want to stand out above the rest in its industry. Apple has a plethora of products to choose from like computers (desktops and laptops), cell phones, and tablets, which other companies have but Apple stands out above those ‘like’ businesses with their distribution of music via iTunes. Apple’s iTunes are the only digital music distributor; well it may as well be because nothing else can compare although some businesses like Amazon try. If you think about, to access successful and complete songs, albums, etc., iTunes is the place to go. Netflix is another example of Blue Ocean. Netflix streams many movies, TV shows, and documentaries without a real competitor. It is a cheap and easily accessible business that was the first to compete with
References: Blue ocean. (2014). Retrieved from http://www.investopedia.com/terms/b/blue-ocean.asp Kim, W.C. & Mauborgne, R. (2004). Blue ocean strategy. Harvard Business Review. Retrieved from http://hbr.org/2004/10/blue-ocean-strategy/ar/1 Red oceans. 2014. Blue Ocean Strategy. Retrieved from http://www.blueoceanstrategy.com/concepts/glossary/glossary-red-oceans/