The concept of blue ocean in the business world
A few years ago, professors W. Chan Kim and Renee Mauborgne introduced this concept in order to provide a solid direction to companies in its path.
Generally, periods of economic boom are useless for employers to stop by the reflection and the altitude of view, in order to ask some simple questions, but at the same time with great importance. How do your business in 10 years? What are their values and work philosophy? In which sectors do compete and what their competition? The short-term vision is imposed more day to day and long-term strategy to gradually disappears.
The importance of the results is causing a gradual destruction of the virtues of the market. Companies enter into merciless wars to capture market share that can be fed to satisfy their daily functioning. The market, in most situations, it becomes an ocean red with blood emanating from the wounds of war.
Discovery of a blue ocean, reason for today’s businesses.
Professors Renée Mauborgne and W. Kim Chan coined this term in relation to the markets where many companies coexist with their products and varieties, competing to attract customers using a battery of commercial activities. On many occasions it becomes a vicious circle from which the only way out is through a global vision.
In this context, emerged the concept of blue ocean, loopholes still unconquered by the market and involving an area of opportunity and development. Detrimental to the red oceans, where every day we work to claw market share, blue oceans are positioned as an environment of peace, which sets the tone discoverer at any time based on your product and strategy to develop.
While in the red ocean competition is fierce, and the tour, in the strategic sense, is bounded between costs or value added and sales cycle of the product itself is exhausted every day, in the blue ocean horizon is by drawing. The competition is absent, thereby pricing strategy depends entirely on the expectations of the company and how you can position the entire organization in support of the project.
Characteristics of blue oceans
Blue oceans come from new market segments or the cracks left by the oceans rojosEn this sense, the experience gained in the daily struggle, can be very useful for research and develop a product that is new to the market . In this sense there are many cases on the market to illustrate this concept, and more so in technology and audiovisual sectors.
For example, the digital camera was a milestone, banished to oblivion traditional cameras and rolls of film. Another area where you can clearly see the formation of blue oceans, is on the Internet. The company occupied a space within eBay auctions of products, developing on-line concept, positioning itself very rapidly among the most visited pages and more interaction with the world.