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Blue Ocean Strategy: How To Create Uncontested Market Space And Make The Competition Irrelevant [Hardcover]

W. Chan Kim , Renée Mauborgne
4.3 out of 5 stars  See all reviews (30 customer reviews)
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Book Description

1 Jan 2005
Written by the business world's new gurus, Blue Ocean Strategy continues to challenge everything you thought you knew about competing in today’s crowded market place. Based on a study of 150 strategic moves spanning more than a hundred years and thirty industries, authors W. Chan Kim and Renee Mauborgne argue that lasting success comes from creating 'blue oceans': untapped new market spaces ripe from growth. And the business world has caught on- companies around the world are skipping the bloody red oceans of rivals and creating their very own blue oceans. With over one million copies sold world wide, Blue Ocean Strategy is quickly reaching "must read" status among smart business readers. Have you caught the wave?

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Product details

  • Hardcover: 240 pages
  • Publisher: Harvard Business School Press (1 Jan 2005)
  • Language: English
  • ISBN-10: 1591396190
  • ISBN-13: 978-1591396192
  • Product Dimensions: 24.1 x 16 x 2.4 cm
  • Average Customer Review: 4.3 out of 5 stars  See all reviews (30 customer reviews)
  • Amazon Bestsellers Rank: 3,930 in Books (See Top 100 in Books)

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"Blue Ocean Strategy will have you wondering why companies need so much persuasion to stay out of shark-infested waters." -- BusinessWeek, April 4th 2005

"Blue Ocean raises pertinent questions… and delivers valuable answers." -- American Way, March 2005

"Companies struggling to stay afloat in the market' oceans would do well to look into Blue Ocean Strategy." -- Fort Worth Star Telegram, 14 February 2005

From the Publisher

Blue Ocean Strategy is the fastest selling title ever published by Harvard Business School Press, with a record-breaking 36 languages sold. Since being published, the book has hit several bestseller lists, including the Wall Street Journal and BusinessWeek, and was the #1 bestselling book for 2005 at 800-CEO-READ.

The book has resonated with executives at small and large companies, nonprofits, and government agencies, many of whom have changed their strategies after reading the book. They include Nintendo, Ford, Samsung, and The Government of Singapore.

  • NINTENDO - In an interview about the Nintendo Wii, Perrin Kaplan, vice president of marketing and corporate affairs for Nintendo of America, said "Inside Nintendo we call our strategy `Blue Ocean.' " - FORBES.COM, February 2007
  • FORD - "One major influence on [Ford's secret Piquette Project] is BLUE OCEAN STRATEGY... Copies have been circulating briskly among Ford offices these days." - Detroit Free Press, January 23, 2006
  • SAMSUNG - "Samsung Electronics has not only embraced, but has meticulously developed and applied to its product development this Value Innovation theory coauthored by Professors Kim and Mauborgne." - Korean Economic Daily

Inside This Book (Learn More)
First Sentence
A ONE TIME ACCORDION PLAYER, stilt-walker, and fire-eater, Guy Laliberte is now CEO of Cirque du Soleil, one of Canada's largest cultural exports. Read the first page
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Front Cover | Copyright | Table of Contents | Excerpt | Index | Back Cover
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Customer Reviews

Most Helpful Customer Reviews
45 of 48 people found the following review helpful
5.0 out of 5 stars "To strive, to seek, to find...." 23 Sep 2005
By Robert Morris TOP 100 REVIEWER
This is an especially thought-provoking book which, as have so many others, evolved from an article published in the Harvard Business Review. According to Kim and Mauborgne, "[in italics] Blue ocean strategy [end italics] challenges companies to break out of the red ocean of bloody competition by creating uncontested market space that makes the competition irrelevant...This book not only challenges companies but also shows them how to achieve this. We first introduce a set of analytical tools and frameworks that show you how to systematically act on this challenge, and, second, we elaborate the principles that define and separate blue ocean strategy from competition-based strategic thought." There are six principles which are introduced and then discussed on pages 49, 82, 102, 117, 143, and 172, respectively.
Frankly, I was somewhat skeptical that this book could deliver on the promises made in its subtitle. In fact, the material provided by Kim and Mauborgne is essentially worthless unless and until decision-makers in a given organization accept the challenge, are guided and informed by the six principles, and effectively use the tools within appropriate frameworks. The responsibility is theirs, not Kim and Mauborgne's. To assist their efforts, Kim and Mauborgne focus on several exemplary companies which have dominated (if not rendered irrelevant) their competition by penetrating previously neglected market space. They include the Body Shop, Callaway Golf, Cirque du Soleil, Dell, NetJets, the SONY Walkman, Southwest Airlines, Starbucks, the Swatch watch, and Yellow Tail wine.
Of greatest interest to me is Kim and Mauborgne's assertion that the innovations which enabled these companies to succeed with a Blue Ocean strategy did NOT depend upon a new technology.
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93 of 104 people found the following review helpful
The authors have published many articles over the last decade on Value Innovation. This is their first book. It summarizes their extensive knowledge on out-of-the-box strategic thinking. I'm looking forward to reading it. This review is based on their article in Harvard Business Review, Oct 2004, on "Blue Ocean Strategy".
What is a BLUE OCEAN STRATEGY? The authors explain it by comparing it to a red ocean strategy (traditional strategic thinking):
1. DO NOT compete in existing market space. INSTEAD you should create uncontested market space.
2. DO NOT beat the competition. INSTEAD you should make the competition irrelevant.
3. DO NOT exploit existing demand. INSTEAD you should create and capture new demand.
4. DO NOT make the value/cost trade-off. INSTEAD you should break the value/cost trade-off.
5. DO NOT align the whole system of a company's activities with its strategic choice of differentiation or low cost. INSTEAD you should align the whole system of a company's activities in pursuit of both differentiation and low cost.
A red ocean strategy is based on traditional strategic thinking - e.g. Harvard's strategy guru Michael Porter - and is what the authors believe you should not do.
A blue ocean is created in the region where a company's actions favourably affect both its cost structure and it value proposition to buyers. Cost savings are made from eliminating and reducing the factors an industry competes on. Buyer value is lifted by raising and creating elements the industry has never offered. Over time, costs are reduced further as scale economies kick in, due to the high sales volumes that superior value generates.
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4 of 4 people found the following review helpful
4.0 out of 5 stars Thought-provoking and practical 22 Jun 2009
By Antonio
Format:Hardcover|Verified Purchase
For me, the core of the book consists of the first two chapters - 'Creating blue oceans' and 'Analytical tools and frameworks'. These outline the processes of opening up new demand and of using 'strategy canvases' to map your offering against other businesses'. The canvas is a neat tool - easy to use, easy to communicate, easy to remember - that I've found useful in practical settings. The book rather loses focus and shape in the later chapters on implementation.
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19 of 21 people found the following review helpful
I have been reading their reviews over the years and its good to see a summary book of their principles of value innovation. Their contextual examples really emphasise their thoughts well and for any practising marketeer, the strategic canvass section is an excellent tool in developing genuine new market space. By identifying key qualities in a market, or consumer need, and then reducing, eliminating, increasing or creating qualities, new market space is found. The end of the book is filler and offers no more insight than many other books on similar subjects - but then at least you only have to read half the book to gets it true value.
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3 of 3 people found the following review helpful
W. Chan Kim is Professor of Strategy and International Management at INSEAD. Renée Mauborgne is The INSEAD Distinguished Fellow and a Professor of Strategy and Management. This book was published in 2005 and consists of three parts, whereby each part consists of 2-to-5 chapters each. There is also a short preface and 3 proper appendices.

The aim of the book is made clear in the preface: to make the formulation and execution of blue ocean strategy as systematic and actionable as competing in the red waters of known market space. Whereby the authors in the first chapter introduce blue ocean strategy: "... blue ocean strategy challenges companies to create uncontested market space that makes the competition irrelevant ... blue ocean strategy is about growing demand and breaking away from the competition." The successful formulation and execution of blue ocean strategy is based on six principles which are discussed in chapter 3 through to 8. However, Chapter 2 first introduces the analytical tools and frameworks that are essential for creating and capturing blue oceans.

The 4 chapters in Part II - Formulating Blue Ocean Strategy introduce the four guiding principles for the successful formulation of blue ocean strategy. Chapter 3 identifies the paths by which you can systematically create uncontested market space across diverse industry domains, hence attenuating `search risk'. The authors introduce the `six paths framework' which have general applicability across industry sectors for remaking market boundaries. In the fourth chapter, the authors recommend companies to redesign their traditional strategic planning process and focus on the big picture, via the strategy canvas, to create value innovation and thereby tackling `planning risk'.
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Most Recent Customer Reviews
5.0 out of 5 stars Five Stars
Excellent a must read for marketing strategists
Published 5 days ago by panayiotis sardos
4.0 out of 5 stars Good book
I have reviewed the book once and I think it is a good read and give you good ideas. Good buy ;-)
Published 6 months ago by MR DELYAN YARAMOV
5.0 out of 5 stars Clear with a lot of examples
What both authors tend to explain about this strategies comes with clear explanations and very good examples in each of them. Read more
Published 8 months ago by Pen Name
5.0 out of 5 stars Absolutely Awesome read x
If you are at all interested in how to take advantage of teh online revolution and marketing strategies of the current era then this is a must read back with data that is valuable... Read more
Published 14 months ago by Kalpesh
5.0 out of 5 stars Genius!
This book is clearly presented and includes powerful concepts and tools. It has inspired me! I recommend it to anyone in business.
Published 14 months ago by WH
3.0 out of 5 stars Liked the reframing of the competitive landscape
Interesting view with plenty to take away. Lots of useful models. I find the value innovation map a little too simple / open to subjectivity. Read more
Published 14 months ago by Jamie Macgregor
4.0 out of 5 stars Got lost a bit
I liked the way the book was written and the concept. I really wasn't sure about some of the case studies within the book and they for me didn't provide any inspiration. Read more
Published 15 months ago by riley36
5.0 out of 5 stars Quite Brilliant
Ground-breaking theory that's well researched and clearly presented. This book also goes beyond just letting you work out how best to apply knowledge in the real, business world. Read more
Published 16 months ago by David Richter
5.0 out of 5 stars An excellent framing of business differentiation ideas
This is one of the most compelling books on business strategy I have read. The authors describe their ideas for building competitive (and hopefully sustainable competitive)... Read more
Published 17 months ago by Adam
5.0 out of 5 stars Essential book on any Management library.
Absolutely remarkable book, very well written from one of the best living Strategists.
Definetly a must have book on any Management library.
Published 18 months ago by Jorge Aníbal Catarino
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