Blue Ocean Strategy

When i first browse through the shelves of books at the bookstore and come across this "Blue Ocean Strategy", my initial impression was this, wow, Harvard Business School Press is expanding its horizon to the Deep Blue Seas - Marine Biology. It was pretty amazed that it has nothing to do with Marine Biology or any aquaculture, it's all about Business Strategy...

According to Blue Ocean Strategy book, market universe composed of 2 sorts of oceans: Red Oceans and Blue Oceans. Red Oceans represent all industries in existence today, can be known as the market space. Its industry bountaries are defined, accepted and competitive rules of the game are known. Once companies try to outperform their rivals to grab greater share of existing demand, products become commodities and cutthroat competition turns the red ocean bloody.

Blue Oceans denote all the industries not in existence today, it is an unknown market space. It is defined by untapped market space, demand creation and opportunity for highly profitable growth. Some blue oceans are created well beyond existing industry boundaries, most are created within red oceans by expanding existing boundaries. What is best about blue ocean is that competition is irrelevant because rules of the game are waiting to be set.

I found that most young adult have the urge to buy a particular product, most of the reasons are personal gratification, boost self image and egoistic behaviour. Blue oceans work well in this context due to the current mindset. However, i don't think blue oceans will not work well in the longer term, due to the fact that it is not the basic necessity, unless society's needs has indirectly turning this blue ocean into red ocean.