Blue ocean strategy is the simultaneous pursuit of differentiation and low cost to open up a new market space and create new demand. It is about creating and capturing uncontested market space, thereby making the competition irrelevant. It is based on the view that market boundaries and industry structure are not a given and can be reconstructed by the actions and beliefs of industry players.
are all the industries in existence today - the known market space. In
red oceans, industry boundaries are defined and accepted, and the
competitive rules of the game are known. Here, companies try to
outperform their rivals to grab a greater share of existing demand. As
the market space gets crowded, profits and growth are reduced. Products
become commodities, leading to cutthroat or 'bloody' competition. Hence
the term red oceans.
Blue oceans, in contrast, denote all the industries not in existence today - the unknown market space, untainted by competition. In blue oceans, demand is created rather than fought over. There is ample opportunity for growth that is both profitable and rapid. In blue oceans, competition is irrelevant because the rules of the game are waiting to be set. A blue ocean is an analogy to describe the wider, deeper potential to be found in unexplored market space. A blue ocean is vast, deep, and powerful in terms of profitable growth.
DAMSON specializes in developing Blue Ocean Strategy for companies stuck in competition, facing diminishing or flat growth & revenue, shrinking profits and rising costs, and uncertain disturbances like COVID-19, Oil & Dollar price fluctuations, Stock crashes, recessions, and sustainability challenges. Blue Ocean Strategy is the solution to all of this.
Blue Ocean Strategy (the book sold 4 million copies and translated in 46 languages) remains the most global game-changing concept since its inception in 2005. The founders of the concept are Dr. W. Chan Kim and Dr. Renee Mauborgne, both jointly top with No. 1 position on Thinkers50, the ranking of most influential business thought leaders of the world, named as "Oscars of the Management" by Financial Times. Dr. Kim is advisor to European Union and Dr. Mauborgne remained advisor to former US president Barack Obama for his 2 presidential terms, and both are fellows of World Economic Forum.
Some important milestone achievements of Blue Ocean Strategy:
# Thinkers50 ranked No. 1 thought leaders (Blue Ocean Strategy founders Dr. W. Chan Kim & Dr. Renee Mauborgne) - world ranking of greatest business thought leaders of today
# First four $1 trillion companies by market cap in the global business history (Apple, Amazon, Microsoft, Alphabet)
# World's first $2 trillion company by market cap (Apple)
# World's first centi-billionaire and double-centi-billionaires (Jeff Bezos, Elon Musk $200 billion)
# Justin Trudeau: Surprise landslide victory in 2015 Canadian Federal Elections (184/338 seats)
# Malaysia: Landmark 60% increase in Gross National Income, 78% increase in GDP Per Capita, with creation of 2 million new jobs
# Thailand: World's No. 1 medical tourism destination ($4.3 billion) by beating Singapore ($3.5 billion)
# 1-country cement company Cemex (Mexico, revenue $18 billion) beating 80-countries global leader Lafarge (revenue $14 billion)
# 1-country medical research non-profit (Novo Nordisk Foundation, endowment $59 billion) beating 100-countries global non-profit leader (Bill & Melinda Gates Foundation, endowment $46 billion)
# Apple Inc: Unbeatable blue oceans (iPod, iPhone, iPad, iTunes, iOS, Siri, Apple Watch)
# Alphabet Inc: Unbeatable blue oceans (Adwords, Gmail, Youtube, Google Maps, Loon)
# Amazon Inc: Unbeatable blue oceans (Amazon.com, AWS, Alexa, Kindle, Amazon Advertising, Amazon Prime, Kiva Robots, Scout, BoxOfficeMojo, IMDB, Goodreads, Ring)
# Elon Musk: Unbeatable blue oceans (Paypal, Tesla Motors, SpaceX, Hyperloop, Neuralink, OpenAI, Boring Company)
# Commercial uncontested market space created by Southwest Airlines, Netflix, Uber, Netjets, Airbnb, Starbucks, Red Bull, Wikipedia, Viagra, Cirque de Soleil, Gillette, BP, Novo Nordisk, P&G, ING Direct, NextEra, Comic Relief, CitizenM, Facebook, Whatsapp and many more.
Following the colossal success of Blue Ocean Strategy for Govt. of Malaysia, 23 more countries and states have adopted Blue Ocean Strategy as central policy to their national development plans.
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