2. Blue Ocean Strategy
BOS emerged from a decade-long study of
150 strategic moves spanning more than 30
industries over 100 years
BOS may mean simultaneous pursuit of
differentiation and low cost
BOS aims to create new market space or a
‘blue ocean’, thereby making the
competition irrelevant
7. The Concept of Value Innovation
The Simultaneous Pursuit of Radically Superior Value and
Low Cost
Cost advantages from
high volume
What elements should be
eliminated that our
industry takes for
granted?
What elements should be
reduced well below the
industry standard?
Cost savings from
eliminating & reducing
Superior value by raising
& creating
What elements should be
raised well above the
industry standard?
What elements should be
created that the industry
has never offered?
Costs
Value
Innovation
Buyer value