Blue Ocean Strategy (OM)

8/19/2019 Blue Ocean Strategy (OM)

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Nama : Soraya Inayah Fidran

No. Reg/Kelas : 1465102/65B

While !sinesses are al"ays loo#ing $or "ays in "hi%h &hey %an e&&er %on&end

"i&h &heir %om'e&i&ors( one &heory s!gges&s &hey "o!ld e e&&er o) loo#ing $or

"ays in "hi%h &hey are %om'e&ing agains& no one !& &hemsel*es. +his is #no"n

as &he l!e o%ean s&ra&egy.

,eri*ed $rom &he oo# -Bl!e %ean S&ra&egy- ar*ard B!siness Re*ie" ress

20050( y W. 3han Kim and Renee a!orgne( &he &erm des%ries ho" ins&ead

o$ "or#ing in %ondi&ions( #no"n as &he red o%ean( "here !sinesses are *i%io!sly

gh&ing agains& ea%h o&her $or a share o$ &he mar#e&'la%e( organia&ions sho!ld&ry and nd a "ay &o "or# in a mar#e&'la%e &ha& isn7& loodied y &he

%om'e&i&ion and is $ree o$ %om'e&i&ors.

Summary of 'Blue Ocean Strategy'

8%%ording &o &he "esi&e Bl!e %ean S&ra&egy( &he oo# is ased on a s&!dy o$

150 s&ra&egi% mo*es s'anning more &han a 100 years and 90 ind!s&ries. In &he

oo#( &he a!&hors arg!e &ha& leading %om'anies "ill s!%%eed no& y a&&ling

%om'e&i&ors( !& y sys&ema&i%ally %rea&ing -l!e o%eans- o$ !n%on&es&ed mar#e&

s'a%e ri'e $or gro"&h. +he s&ra&egy is &he sim!l&aneo!s '!rs!i& o$ di)eren&ia&ion

and lo" %os&( "i&h &he &heory ehind i& no& &o o!&'er$orm &he %om'e&i&ion in &he

e;is&ing ind!s&ry( !& &o %rea&e ne" mar#e& s'a%e or a -l!e o%ean(- &herey

ma#ing &he %om'e&i&ion irrele*an&.

+he oo# o)ers !sinesses and en&re'rene!rs &he $rame"or# and &he &ools $or

%rea&ing and %a'&!ring &hose -l!e o%eans(- in%l!ding a s&ra&egy %an*as( *al!e

%!r*e( $o!r a%&ions $rame"or#( si; 'a&hs( !yer e;'erien%e %y%le( !yer !&ili&y

ma' and l!e o%ean idea inde;.

+he oo#7s a!&hors say &ha& &hese $rame"or#s and &ools are designed &o e

*is!al in order &o no& only e)e%&i*ely !ild &he %olle%&i*e "isdom o$ &he %om'any(

!& also allo" $or e)e%&i*e s&ra&egy e;e%!&ion &hro!gh easy %omm!ni%a&ion.

http://www.blueoceanstrategy.com/http://www.blueoceanstrategy.com/


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+o hel' nd &he el!si*e -l!e o%ean(- Kim and a!orgne arg!e &ha& !sinesses

and en&re'rene!rs m!s& %onsider "ha& &hey %all &he -Fo!r 8%&ions Frame"or#.-

8%%ording &o &he a!&hors( &he -Fo!r 8%&ions Frame"or#- is !sed &o re%ons&r!%&

!yer *al!e elemen&s in %ra$&ing a ne" *al!e %!r*e. +o rea# &he &radeo)

e&"een di)eren&ia&ion and lo" %os& and &o %rea&e a ne" *al!e %!r*e( &he

$rame"or# 'oses $o!r #ey

• Raise: Wha& $a%&ors sho!ld e raised "ell ao*e &he ind!s&ry7s s&andard=

• Eliminate: Whi%h $a%&ors &ha& &he ind!s&ry has long %om'e&ed on sho!ld

e elimina&ed=

• Reduce: Whi%h $a%&ors sho!ld e red!%ed "ell elo" &he ind!s&ry7s

s&andard=

• Create: Whi%h $a%&ors sho!ld e %rea&ed &ha& &he ind!s&ry has ne*er

o)ered=

Sin%e ans"ering &hese %!l& &as#( Kim and a!orgne said

i& dri*es %om'anies &o s%r!&inie e*ery $a%&or &he ind!s&ry %om'e&es on( hel'ing

leaders dis%o*er &he range o$ im'li%i& ass!m'&ions &hey ma#e !n%ons%io!sly in

%om'e&ing. In addi&ion( i& '!shes &hem &o sim!l&aneo!sly '!rs!e di)eren&ia&ion

and lo" %os& &o rea# &he *al!e%os& &rade o)( as "ell as highligh&s %om'anies

&ha& are $o%!sed only on raising and %rea&ing( &herey li$&ing &he %os& s&r!%&!re

and o$&en o*erengineering 'rod!%&s and ser*i%es.

+he &heory is in dire%& o''osi&ion o$ ar*ard ro$essor i%haelor&er7s Fi*eFor%es &heory( "hi%h hel's !sinesses de&ermine ho" &hey %an es& %om'e&e in

&he %!rren& mar#e&'la%e. +he or&er model loo#s a& *e s'e%i% $a%&ors &ha& hel'

de&ermine "he&her or no& a !siness %an e 'ro&ale( ased on o&her

!sinesses &ha& are already in &heir ind!s&ry.

In &he -Wall S&ree& ?o!rnal @!ide Assen&ial @!ide &o anagemen&-

ar'erB!siness 2010( a!&hor 8lan !rray "ri&es &ha& &he ra'id 'a%e o$

http://www.businessnewsdaily.com/5446-porters-five-forces.htmlhttp://www.businessnewsdaily.com/5446-porters-five-forces.htmlhttp://www.businessnewsdaily.com/5446-porters-five-forces.htmlhttp://www.businessnewsdaily.com/5446-porters-five-forces.html


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inno*a&ion and %hange in re%en& years has led &o a sear%h $or a s&ra&egy &ha& is

more dynami% &han or&er7s *e $or%es.

-While a*oiding !se o$ r. or&er7s name( r. Kim and s. a!orgnene*er&heless a&&a%# him head on( arg!ing &ha& &he -*e $or%es- analysis is a

$orm!la $or remaining in 7red o%eans(7 "here &he shar#s %om'e&e mer%ilessly $or

&he a%&ion(- !rray "ro&e in his oo#. -+he #ey &o e;%e'&ional !siness s!%%ess(

&hey say( is &o redene &he &erms o$ %om'e&i&ion and mo*e in&o &he 7l!e o%ean(7

"here yo! ha*e &he "a&er &o yo!rsel$.-

!rray "ri&es &ha& &he oo# en%o!rages %om'any7s &o $o%!s less on &heir

%om'e&i&ors and more on al&erna&i*es( "hile a& &he same &ime $o%!sing less on

&heir %!rren& %!s&omers and more on 'o&en&ial ne" %!s&omers.

Examples of blue ocean strategy

ne 'o'!lar e;am'le o$ l!e o%ean s&ra&egy( "hi%h Kim and a!orgne s&!died

$or &heir oo#( is 3ir

&ha& Ringling Bros. and Barn!m Bailey( &he "orld7s mos& 'o'!lar %ir%!s( &oo#

more &han a %en&!ry &o a&&ain y %om'le&ely rein*en&ing &he %ir%!s.

-3ir

're'ared &o 'ay se*eral &imes more &han &he 'ri%e o$ a %on*en&ional %ir%!s &i%#e&

$or an !n're%eden&ed en&er&ainmen& e;'erien%e.-

3ons!l&ing rm Bl!e %ean S&ra&egy ar&ners says Nin&endo is ano&her e;am'le

o$ a %om'any &ha& has !sed &he &heory s!%%ess$!lly( s'e%i%ally in regards &o &he

Nin&endo Wii gaming sys&em. +hey said &he Wii de'ar&ed $rom a red o%ean &ha&

http://guides.wsj.com/management/strategy/what-is-blue-ocean-strategy/http://hbr.org/2004/10/blue-ocean-strategy/http://hbr.org/2004/10/blue-ocean-strategy/http://guides.wsj.com/management/strategy/what-is-blue-ocean-strategy/http://hbr.org/2004/10/blue-ocean-strategy/http://hbr.org/2004/10/blue-ocean-strategy/


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"as domina&ed y Sony7s lays&a&ion and i%roso$&7s Do; y %rea&ing a &o&ally

ne" *ideo game %on%e'&.

-n one hand &he Wii %rea&ed ne" ene&s( s!%h as inno*a&i*e( in&!i&i*e %on&rol"i&h mo*emen& sensors(- &he %om'any "ri&es on i&s "esi&e. -n &he o&her hand

i& genera&ed massi*e %os& red!%&ions elimina&ing high end gra'hi%s and 3E

'o"er. +h!s Nin&endo "as ale &o sell &he Wii a& a 'ri%e &ha& a''ealed &o &he

mass '!li%.-
http://www.bos-partners.de/en/method/examples.htmlhttp://www.bos-partners.de/en/method/examples.html

Documents

Blue Ocean Strategy (OM)