Blue Oceans Strategy
BLUE OCEANS STRATEGY(BOS) Competing in overcrowded industries is no way to sustain high performance. The aim of BOS is not to out-perform the competition in the existing industry, but to create new market space or a blue oceans, thereby making the competition irrelevant.BOS covers both strategy formulation and strategy execution. Red Oceans represent all the industries in existence today - the known market space. In Red Oceans, industry boundaries are defined and accepted, and the competitive rules of the game are well understood. Here, companies try to outperform their rivals in order to grab a greater share of existing demand. As the space gets more and more crowded, prospects for profit and growth are reduced. Product turns in to commodities, and increasing competition turns the water bloody. Blue Oceans denotes all the industries not in existence today - the unknown market space, untainted by competition. In Blue Oceans, demands is created rather than fought over