Blue Ocean Strategy – Treading Uncharted Waters

The Blue Ocean Strategy is a great way to find new markets and opportunities for your business. By exploring uncharted waters, you can create a new market space that’s uncontested and profitable.

The term Blue Oceans and Red Oceans were first introduced by professors Chan Kim and Renée Mauborgne in their international best-seller book Blue Ocean Strategy in 2005 to describe the marketing universe. Blue Ocean Strategy is a creative marketing approach that seeks to create unique and profitable markets by providing solutions that are not currently available in the market. It focuses on creating a demand for offerings that have yet to exist, rather than competing against existing products or services, like the Red Ocean Strategy. By doing so, businesses can break free from the intense competition of traditional markets and gain an advantage over their competitors.

What are Blue Oceans and Red Oceans?

Red Oceans and Blue Oceans are terms used to refer to the market universe. Red oceans represent existing markets, where competition is intense and the market share of each competitor is small. This can lead to price wars, reducing profitability in the long run. On the other hand, Blue oceans are untouched or uncontested markets, where there's an opportunity for companies and entrepreneurs to create new demand and make profits with little competition.

Companies that enter Blue Ocean markets have a greater chance of achieving sustainable growth and maintaining their competitive edge over time due to the lack of direct competition. Creating a blue ocean strategy allows companies to break away from the traditional rules of competing in red oceans and tap into unmet customer needs while simultaneously increasing profitability.  

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