Chan kim is the codirector of the insead blue ocean strategy institute and a chair. Most prominently, since 2009 the malaysian government has implemented a national blue ocean strategy to lift the living standard of the country and to. The blue ocean strategy bos is the strategic organizational approach that is based on the principle that companies should not engage in a competitive struggle but that. This blog article is a overview of some of the key points of the book by w. Some strategic planning models are based on theories that dont quite pan out during gotomarket executions. Chan kim and renee mauborgne 2006 blue ocean strategy has been described as a must read for all business students.
Jan 12, 2017 its all because of nintendo s blue ocean strategy, which first started in earnest when satoru iwata took the reigns as nintendo ceo. Based on 15 years of research, the authors used 150 successful strategic moves spanning 120 years of business history and across 30 industries to. Made by group d of the minor global trendwatching 2015. An introduction to blue ocean strategy mba knowledge base. Consider this your guide to creating uncontested market spaceand making the competition irrelevant.
Blue ocean strategy is a bad book, but it is not your usual bad book. Our multimedia cases and interactive exercises are designed to help you build a deeper understanding of key blue ocean strategy concepts, developed by worldrenowned professors chan kim and renee mauborgne. Blue ocean strategy and sustainability for strategic. Nintendo, however, a distant third actor is raising eyebrows with its recent introduction of the wii. In contrast, blue ocean strategy originated from a study that took place over 10 years and analyzed company successes and failures in more than 30 industries. Do you work for a company that only thinks about ending the competition. Pdf examining the emergence and evolution of blue ocean. Blue ocean strategy is a marketing theory and the title of a book published in 2004 written by. Sep 24, 2017 blue ocean strategy requires a different mindset. Gamasutra nintendos kaplan discusses blue ocean strategy. Blue ocean strategy adopted by nintendo in creating a world class product wii success and downfall of wii. Blue ocean strategy can be found on amazon blue ocean strategy. Theyve progressed every year since to 15th in 2005.
Chan kim and renee mauborgne, professors at insead and codirectors of the insead blue ocean strategy institute. How to create uncontested market space and make the competition irrelevant, a book by professors w. Chan kim and renee mauborgne in their bestselling book of the same name. Jun 23, 2010 nintendos successful wii game console is an example of a multisided platform business model pattern. How to create uncontested market space and make the. Blue ocean strategy is a book published in 2005 and written by w. All in all, blue ocean strategy is a book worth reading. Blue ocean strategy challenges companies to break out of the red ocean of bloody competition by creating uncontested market space that makes the competition irrelevant. View test prep article 4 blue ocean strategy from acc 321 at american intercontinental university, houston.
Instead of dividing up existingand often shrinkingdemand and benchmarking competitors, blue ocean strategy is about growing demand and breaking. Blue ocean strategy case study service nsw 3 1 introduction blue ocean strategy1 has been used extensively to transform the public sector around the world at a local, state and national level. After reading you will understand the basics of this powerful strategy tool what is the blue ocean strategy. How to create uncontested market space and the make competition irrelevant 2005.
The expanded edition of blue ocean strategy, is metaphorical, witty, and almost biblical in its commentary of the bloody waters of competitive red ocean market forces. Many authors have presented the launch of the nintendo wii system as the example of the blue ocean strategy. Set sail towards your blue ocean jk beteiligung gmbh. Under iwatas direction, nintendo developed the nintendo ds and wii video game consoles, helping the company achieve financial success. Blue ocean strategy chapter 14 the four action framework chapter two. Chan kim and renee mauborgne of the blue ocean strategy institute and professors at frances insead business school and cofounders of the value innovation. Pdf blue ocean strategy bos is a management concept which prescribes that organizations, rather than going. Value innovation strategy competes in an uncontested market space. Wiis blue ocean strategy nintendos new direction was clear from the outset. To learn more about the power of blue ocean strategy, visit blueoceanstrategy. Blue ocean pedagogical materials, used in over 2,800 universities and in almost every country in the world, go beyond the standard casebased method. Jul 28, 2018 blue ocean strategy was coined by professors w. Chan kim and renee mauborgne in the indie business book club.
Its all because of nintendos blue ocean strategy, which first started in earnest when satoru iwata took the reigns as nintendo ceo. Nintendo will be hoping that longterm wii fans will want to. Blue ocean strategy is a systematic approach to finding innovative, cost efficient, value adding, productmarket matches. A business tactic where, instead of competing in a heavily competetive, heavily hostile market red ocean, you can instead, set sail, and cater to a new market, one where you can be the forerunner in it blue ocean. In this article you will learn how to make your competition irrelevant and have sales and profit growth in excess of anything you thought was even possible. In 2002, the company adopted the blue ocean strategy. We believe that blue ocean strategy will send you on the right path towards creating your own uncontested space. Based on 15 years of research, the authors used 150 successful strategic moves spanning 120 years of business history and across 30 industries to bring the blue. Blue ocean strategy blue ocean strategy is a business strategy book published in 2005 by harvard business school publishing corporation in united state of america, it was written by w. Sep 26, 2016 the strategy canvas provides a highly visual tool to help look at future options. The book mostly borrows from a range of over 140 strategic marketing moves within a period of over a century. The premise of the book is that companies can succeed by creating. Nintendo revealed their blue ocean strategy during an e3 press conference during the hype buildup of the wii.
They represent businesses that may not be around today, or werent around until they came on to the scene. Summary of the first four chapters of the international bestseller blue ocean strategy. Blue ocean strategy is a landmark idea founded by w. Nintendos blue ocean strategy and the switch youtube. A blue ocean, as used in the title of this book and strategy, is basically uncharted territory in the business world. You think nintendos blue ocean philosophy wouldve happened. His book blue ocean strategy, coauthored with renee mauborgne, has sold 3. Tools and frameworks for creating and capturing blue oceans it is constructed to create a new value curve and when you apply the four actions framework to the strategy canvas of your industry, you get a. Blue ocean strategy is a business strategy book, first published on february 3, 2005 by the harvard business school press. In total, the handheld console nintendo ds, had a lifetime sales of 180 million in april. Lets look at how nintendo differentiated itself from competitors sony and microsoft xbox from the standpoint of blue ocean strategy. To join the free indie business book club, click here. One success story that does exist is nintendo, who first applied the blue ocean strategy to create the nintendo ds handheld game system, which was the first portable gaming system to offer dualscreen gaming and a touch screen in 2004. Blue ocean strategy including examples and pdf download.
Its first two attempts, the nintendo ds and wii, were wildly successful, becoming some of the biggest selling platforms in history. May 31, 2016 instead of fighting headon with your competitors, how do you create uncontested market space and make the competition totally irrelevant. Nintendo wii blue ocean strategy free download pdf kupdf. The 3ds is nintendos third endeavour for its blue ocean strategy. Nintendo has reported a 66% slump in profits after it was hit by a poor performance in its biggest market, the us, and has announced plans to launch a successor to the wii. Single case study, nintendo, which strategy is being confronted with the. Blue ocean strategy presents a systematic approach to making the competition irrelevant and outlines principles and tools any company can use to create and capture their own blue oceans. This book brings the best of those articles together all in one place. Based on an eponymously titled book, this strategy argues that cutthroat competition results in nothing but a bloody red ocean of rivals fighting over a shrinking profit pool.
Blue ocean strategy blue ocean strategy introduction blue ocean strategy is a marketing book by w. Of the many strategic planning models that exist, the blue ocean strategy could be considered the pacifist of the group. Companies should instead look for new market space and ways to reinvent the industry. This book has also been translated into chinese and russian. Chan kim and renee mauborgne, are both prominent professors at insead in fontainebleau, france. Impact of blue ocean strategy on organizational performance. Seeing a blue ocean is the notion of creating a market where there initially was nonegoing out. The concept of blue ocean is based on the idea that the business universe is made up. Welcome to blue ocean strategy were thrilled to have you on board. Its authors, insead professors w chan kim and renee mauborgne, continued their steady progress up the thinkers50 list, finishing second to christensen this year.
Feb 07, 2006 inside nintendo, we call our strategy blue ocean. Iwata satoru, december 6, 1959 july 11, 2015 was a japanese businessman, video game programmer and video game designer. I wish i could say my own pursuit of enlightenment led me to chan kim and renee mauborgnes masterpiece on embracing and leveraging difference. May 26, 2015 summary of the first four chapters of the international bestseller blue ocean strategy. Buy blue ocean strategy, expanded edition revised ed. This article explains the blue ocean strategy, developed by w.
Essay on blue ocean strategy a marketing book 1053. Achieved via the delivery of features that have a highest marginal benefit to customer needs. The book succeeds in showing how businesses, can outdo their competitors. Blue ocean strategy is the most successful book on business masterplanning the economist a great read for any leader looking to get a real edge in business and establish a real competitive advantage in the market. Blue ocean strategy is a radical approach to strategy captured in a book. A lot has been written about it and i would have said practically everything had been said about it until i looked up the book on amazon to see the current price. Instead of fighting headon with your competitors, how do you create uncontested market space and make the competition totally irrelevant. Chan kim and renee mauborgne in their book blue ocean strategy. Nintendo in the pursuit of the blue ocean innovation in the cultural.
Pdf impact of blue ocean strategy on organizational. It presents the blue ocean approach, its principles and analytical tools. The strategy canvas provides a highly visual tool to help look at future options. In this article you will learn how to make your competition irrelevant and have sales and profit. Everyday low prices and free delivery on eligible orders. Basically, the blue ocean strategy indicates a radical or disruptive innovation where companies innovate so that they do not have to compete with products from. The blue ocean that disappeared the case of nintendo wii svend hollensen svend hollensen. It is being published in a recordbreaking 44 languages and is a bestsel w.
The green ocean innovation model international journal of. Blue ocean strategy has helped numerous companies and organisations across the globe to create new market space and achieve pro. Innovation, new market space and creating demand are central characteristics. A landmark work that upends traditional thinking about strategy, this bestselling book charts a bold new path to winning the future. The company launched the wii back in 2006 and in five years nintendo said it has sold over 86 million units.
The original bos book from 2005 kim and mauborgne 2005b has. It is a dangerous bad book because it takes some thinking to figure out why it is bad, despite its success, and despite the fact that its key metaphor of blue ocean vs. He was the fourth president and chief executive officer ceo of nintendo. As a selfdeclared gamer, he focused on expanding the appeal of video games across all demographics through a blue ocean business strategy. Compared to sony playstation and microsoft xbox, nintendo pursued a fundamentally different strategy and business model with wii. Based on a study of 150 strategic moves spanning more than 100 years and 30 industries, blue ocean strategy addresses this question and provides a systematic approach to drafting and implementing your own blue ocean strategy. Kaplan indicated that it did not represent nintendos entire online strategy and that more will be described soon. Blue ocean strategy generally refers to the creation by a company of a new, uncontested market space that makes competitors irrelevant and that creates new consumer value often while decreasing costs. While the book is aimed primarily at large, traditional businesses, our book club members managed to scale some of the advice to fit our needs. Blue ocean strategy and sustainability for strategic management. Essay on blue ocean strategy a marketing book 1053 words. A landmark work that upends traditional thinking about strategy, this bestselling business book charts a bold new path to winning the future.
The purpose with this article is to analyze the blue ocean phenomenon in depth. Nintendos successful wii game console is an example of a multisided platform business model pattern. In 2006, nintendo released the wii, which used unique motion controls. Exclusive news broadcast directly to you, the player. Nintendo revealed their blue ocean strategy during an. The seminal book blue ocean strategy has sold over 3. May 30, 2017 to join the free indie business book club, click here. You may or may not agree with the central philosophy, but you will be inspired.540 542 519 1166 343 50 1118 1179 511 636 468 883 149 698 1034 326 1340 1050 1292 571 1275 1035 580 410 878 763 1122 124 265 619 1398 591 1274 824 1316