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Blue Ocean Strategy

In: Business and Management

Submitted By Tmbetz1
Words 776
Pages 4
Tiffany Betz
Blue Ocean Strategy
MKT 421
Professor Creig Foster
September 22, 2014

Blue Ocean Strategy
Blue ocean strategy is about reinventing rather than competing with others in the same industry. “Blue oceans denote all the industries not in existence today- the unknown market space, untainted by competition. In blue oceans, demand is created rather than fought over” (Kim, & Mauborgne, 2004). The blue ocean strategy opens opportunities for organizations, reduces competition and creates a part from traditional models. If organizations strived to be different, offer different items and innovative ideas, there would be less bloodshed in the world of corporation competition. One real issue, is that there is an incredible amount of organizations working to create and sell products to consumers. Eventually, the ever growing companies and surplus of supplies will steadily lower the demand. When corporations create similar items to the competition, consumers lose sight of product differences. This is because the competition gets so intense, that the products begin to mirror each other. Since companies are not creating two unique products to choose from, consumers base their decisions on price. These similarities also denote branding and force companies into price slashing, which reduces overall profits and gain.
Chinet
As I comb the isles of my local grocery store for birthday party supplies, I cannot help but wonder why all of these items are sold individually. When consumers purchase plates, do they not also need silverware, napkins, and serving ware? If Chinet began marketing party packages, I believe they would benefit in the industry. As of now, all organizations sell these items separately, even though most consumers require a number of items in one purchase. The blue ocean strategy that comes to mind, is selling plates, napkins, and silverware...

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