The Blue Ocean Strategy - an Innovative Business Model

Abstract

Blue ocean strategy is a innovative way by looking at the existing market and competition. The basic idea is transforming competition into an element irrelevant by creating original market areas. In today's overcrowded economy, fierce competition results the emergence of a “red ocean”, bloody, where rivals struggle to seize a "pool" of profit increasingly smaller. Blue ocean strategy provides a systematic method to create “Oceans Blue”, undisputed market areas, in which there is no competition. This is done by removing the traditional strategic thinking, follow some basic principles and Innovation. Competing in overcrowded industries is no way to sustain high performance. The real opportunity is to create blue oceans of uncontested market space. CZU: 005.21:005.591.6; JEL: M12, M31