Blue Ocean

Topics: Blue Ocean Strategy, Strategic management, Cirque du Soleil Pages: 4 (2106 words) Published: May 6, 2014
Managerial Marketing

Blue Ocean Strategy
by W. Chan Kim

The second part describes the four principles of blue ocean strategy formulation: how to create uncontested market space by reconstructing market boundaries, focusing on the big picture, reaching beyond existing demand and getting the strategic sequence right. These four formulation principles address how an organization can create blue oceans by looking across the six conventional boundaries of competition (Six Paths Framework), reduce their planning risk by following the four steps of visualizing strategy, create new demand by unlocking the three tiers of noncustomers and launch a commercially-viable blue ocean idea by aligning unprecedented utility of an offering with strategic pricing and target costing and by overcoming adoption hurdles. The book uses many examples across industries to demonstrate how to break out of traditional competitive (structuralist) strategic thinking and to grow demand and profits for the company and the industry by using blue ocean (reconstructionist) strategic thinking. The third and final part describes the two key implementation principles of blue ocean strategy including tipping point leadership and fair process. These implementation principles are essential for leaders to overcome the four key organizational hurdles that can prevent even the best strategies from being executed. The four key hurdles comprise the cognitive, resource, motivational and political hurdles that prevent people involved in strategy execution from understanding the need to break from status quo, finding the resources to implement the new strategic shift, keeping your people committed to implementing the new strategy, and from overcoming the powerful vested interests that may block the change.[2][3] In the book the authors draw the attention of their readers towards the correlation of success stories across industries and the formulation of strategies that provide a solid base create...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • blue ocean strategy Essay
  • Cirque Du Soleil
  • Blue Ocean Essay
  • Blue Ocean Strategy Essay
  • Blue Ocean Strategy Paper
  • Essay about Blue Ocean Book Review
  • Blue Ocean Strategy Paper
  • Blue Ocean Strategy Essay

Become a StudyMode Member

Sign Up - It's Free