Blue Ocean Strategy claims to unravel the key to success for companies by focusing on the strategic moves rather than specific industry or companies. While the book describes how and why blue ocean strategies work, the book fails to lay down a viable plan for companies that seeks to enter the blue ocean to follow. The theory discussed in the book simplifies the complex world and oversimplifies many practical steps and thus, neglects the other possible situation in the industry and adds little value in explaining the route to success. Following the principles enumerated in the book alone would not automatically open a new market if the company lacks innovation, the funds to support research and development, the expertise to market the product
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Innovation is the driving force behind most successes as exemplified by Ford’s T-model where the blue ocean could not have been found without the innovative assembly line. Focusing on strategy alone and not recognizing the importance of innovation behind it, may be fruitless yet this is what the book seems to advocate. Furthermore, while the book cautions against innovation for innovation’s sake, for fear of providing products that the public is not ready to pay for as well as advises on finding the right balance between price and cost, the strategy put a lot of emphasis on innovation that companies might be blindsided enough to put a lot of money on research and …show more content…
However, both approaches proselytize the concept that if a company can do it, they can go for the uncontested market spaces. Porter’s five forces do not advise companies to head to the red ocean, rather, it tells them to be creative, to find ways to avoid and / or limit competition as possible. His strategies, also recommend differentiation from competitors by focusing on the uniqueness of the product or delivering a unique value and this is what the blue ocean strategy is all about. To fully understand however the structure of an industry the company is in as well as the dynamics within it, Porter’s five forces would be
Innovation is the driving force behind most successes as exemplified by Ford’s T-model where the blue ocean could not have been found without the innovative assembly line. Focusing on strategy alone and not recognizing the importance of innovation behind it, may be fruitless yet this is what the book seems to advocate. Furthermore, while the book cautions against innovation for innovation’s sake, for fear of providing products that the public is not ready to pay for as well as advises on finding the right balance between price and cost, the strategy put a lot of emphasis on innovation that companies might be blindsided enough to put a lot of money on research and …show more content…
However, both approaches proselytize the concept that if a company can do it, they can go for the uncontested market spaces. Porter’s five forces do not advise companies to head to the red ocean, rather, it tells them to be creative, to find ways to avoid and / or limit competition as possible. His strategies, also recommend differentiation from competitors by focusing on the uniqueness of the product or delivering a unique value and this is what the blue ocean strategy is all about. To fully understand however the structure of an industry the company is in as well as the dynamics within it, Porter’s five forces would be