Blue Ocean Strategy: Beyond Industry Competition, Creating New Markets

Author: W. Chan Kim (Korean) and Renée Mauborgne (American)
Publisher:
Publish Date: 2005-11-01
Features: To seek sustainable, profitable growth, companies often engage in head-on competition with their rivals. They fight for competitive advantage, for market share, and for differentiation. However, in today's overly crowded industrial markets, such hard-fought competition can only lead companies into the bloody "Red Ocean"—a fiercely competitive space of known market boundaries—where they scramble for increasingly shrinking profit margins. In this book, the authors challenge the conventional laws of strategic success that you are familiar with. They argue that lingering in the Red Ocean of competition will become increasingly difficult in creating future profitable growth. Based on their research of 150 strategic actions spanning over 100 years and involving more than 30 industries, the authors propose that to win tomorrow, companies must not compete with rivals but instead create the "Blue Ocean"—a vast new market space brimming with untapped demand—to pave the way for growth. This strategic action, known as "value innovation," can create leaps in value for both companies and buyers, enabling companies to completely outdistance their competitors and unleash new demand. Blue Ocean Strategy provides a systematic approach for companies to break free from competition. In this disruptive book that challenges traditional strategic thinking, the authors present a proven analytical framework and tools to help companies successfully create and capture Blue Oceans. Through their analysis of numerous strategic actions across various industries, the authors also propose six principles for successfully formulating and executing Blue Ocean Strategy. These principles guide companies on how to rebuild market boundaries, focus on the bigger picture, exceed existing demand, follow a logical strategic sequence, overcome organizational barriers, and embed strategy execution as part of the strategy itself. Since its publication by Harvard Business Press in February 2005, Blue Ocean Strategy has generated immense global buzz and has been honored as a "Wall Street Journal Bestseller," "USA Bestseller," and "Global Bestseller." To date, it has been translated into 24 languages, shattering the record for international rights sales in Harvard Business Press history. The authors of this book have also launched a dedicated website: www.blueoceanstrategy.com. For further information, please visit the site.