Another interesting book that recommended by my very top-level boss – Blue Ocean Strategy by W. Chan Kim and Renee Mauborgne
As usual, the Wikpedia explanation sometimes is just too comprehensive and I found a very good video summary in youtube. Let’s look at this video:
This reminds me the from “The Sun Sze Art of World” and the “Thick Face Black Heart” books mention that “Sometimes You Don’t Need to Fight to Win a War”. I personally love this statement. In short, the Blue Ocean Strategy is simply saying that “You Don’t Need To Fight to Win Your Competitor”.
Remember, the "BLUE" Ocean Strategy says:
- Competition is Irrelevant.
- Value Innovation – Ignoring the competition and focusing on the buyers.
Real Case Examples
(1) McDonald’s restaurant
Have you ever wonder why McDonald’s restaurant is so successful in worldwide? At least this is what I experienced in US, Malaysia and Europe. It always full during peak hour. Look at the graph below, does McDonald trying to compete with the rest?
(2) Apple's products (i.e. iTunes, iMac, iPhone)
Apple is so successful until today in my opinion is because of “Branding”. You feel cool and different status when using apple’s products. Using an Apple product is just like driving the “BMW” car on the road. This market is never exists and Apple creates for it.
(3) AirAsia Airline in Malaysia.
It eliminates over the counter booking system, free food/beverage on the plane, seating class booking system, and reduce "luxury" facilities provided by Airport Lounge, seat quality and many others. Think of it, are all these things a necessity for a customer? Although this is not something new in other countries but at least it is still new market in Malaysia. AirAsia creates this market.
Of course it is not as simply as I say but sometimes this makes a lot of common sense and it just that when we come into practice, it is a whole different story. Don’t you agree?
In summary this book provides a tool and mythology to create a new market space using the blue ocean strategy. You can buy the book yourself and learn the details.
I personally bought it but haven’t finished yet. The question that I have in mind is, will the book help in real business? Or it is just another educational business book? You tell me…