Blue Ocean

Strategy
An introduction to the revolutionary concept of
creating uncontested market space and achieving high
growth through value innovation.

Presented By APO 1
 Blue Ocean Strategy

Challenging the status quo Value innovation Uncontested market space

Blue Ocean Strategy urges us to Simultaneously creating value and By venturing into the blue ocean,
shift focus from competing against reducing costs by eliminating, companies can unlock new growth
rivals to creating new market spaces reducing, creating and raising key opportunities
factors

Blue Ocean Strategy provides a new approach

to achieve sustainable and profitable growth
 Red Ocean vs. Blue Ocean

Red Ocean
Existing market space characterized by fierce competition and shrinking profits.

Blue Ocean
Unexplored market space with high growth potential and the absence of direct competition.
 The Value Innovation Framework

Value Innovation Eliminate Reduce

The cornerstone of Blue Removing factors that Lowering investment in
Ocean Strategy, focusing on customers consider factors that are
simultaneously creating unnecessary or undesirable. overemphasized by the
value and reducing cost. industry.

Create Raise
Introducing new factors that the industry Increasing focus on factors that are
has never offered before. underinvested in by the industry.
 Case Study:
Cirque du Soleil
The traditional circus industry focused
on attracting families by featuring
exotic animals and slapstick clowns.
Cirque du Soleil took a radically
different approach by eliminating these
conventional elements and creating an
intimate, sophisticated theatrical
experience centered on storytelling and
connecting with the audience.
 Cirque du Soleil

Cirque du Soleil epitomizes the efficacy of Blue Ocean Strategy.

Confronted with a saturated and declining circus industry, they renounced
tradition by eradicating familiar elements such as animals and clowns.
They minimized emphasis on acrobatics and spectacle, alternatively crafting
an intimate theatrical ambiance centered around narrative and artistry.
In addition, they elevated the degree of refinement, grace, and emotional
engagement with spectators. Through the pursuit of value innovation, Cirque
du Soleil sculpted a fresh market domain, enticing a wider audience and
accomplishing extraordinary success.
 Conclusion

Embrace blue ocean thinking Pursue value innovation Achieve sustainable success
Move beyond traditional competitive Redefine value propositions to unlock Create new market spaces where
strategies and red ocean markets new demand and growth opportunities competition is irrelevant

Blue Ocean Strategy enables continuous exploration,

innovation and uncontested market leadership