{"id":263,"date":"2025-06-18T21:47:56","date_gmt":"2025-06-18T16:47:56","guid":{"rendered":"https:\/\/sagadenov.com\/?p=263"},"modified":"2025-06-21T12:15:04","modified_gmt":"2025-06-21T07:15:04","slug":"blue-ocean-strategy-by-w-chan-kim-renee-mauborgne","status":"publish","type":"post","link":"https:\/\/sagadenov.com\/?p=263","title":{"rendered":"Blue Ocean Strategy by W. Chan Kim, Renee Mauborgne"},"content":{"rendered":"\n

To quit bleeding in the red ocean of price wars and step into clear blue waters where rivals are absent and profits grow through value innovation<\/strong>.<\/p>\n\n\n\n

\n

\u201cValue innovation is the cornerstone of blue\u2011ocean strategy.\u201d <\/em>\u2014 W. Chan Kim & Ren\u00e9e Mauborgne<\/p>\n<\/blockquote>\n\n\n\n

5 tools from the book and how to use them this week<\/h3>\n\n\n\n
#<\/th>Book tool<\/th>What to do in 7 days<\/th><\/tr>
1<\/td>Strategy Canvas<\/strong><\/td>List 6\u20138 competitive factors in your industry. Plot two lines\u2014yours and the leader\u2019s. The gaps show where you copy and where you could stand out.<\/td><\/tr>
2<\/td>Four Actions Framework (ERRC Grid)<\/strong><\/td>From the Canvas fill the four boxes: Eliminate, Reduce, Raise, Create<\/em>. Put at least one item in every box\u2014this removes the trade\u2011off between price and value.<\/td><\/tr>
3<\/td>Six Paths Framework<\/strong><\/td>Walk the six paths: 1) Alternative industries 2) Strategic groups 3) Buyer chain 4) Complementary offerings 5) Functional vs emotional appeal 6) Trends over time. Capture one insight per path.<\/td><\/tr>
4<\/td>Three Tiers of Noncustomers<\/strong><\/td>Interview all three layers: soon\u2011to\u2011be<\/em> \u2192 refusing<\/em> \u2192 unexplored<\/em>. Spot a barrier you can remove via ERRC.<\/td><\/tr>
5<\/td>Price\u2011Cost Sequence<\/strong><\/td>After ERRC run the sequence: 1) Utility<\/strong> via the Buyer Utility Map 2) Strategic price<\/strong> in the mass corridor 3) Target cost<\/strong>. If target cost beats current cost\u2014move forward.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

30\u2011day implementation roadmap (straight from the book)<\/h3>\n\n\n\n
    \n
  1. Week\u00a01<\/strong> \u2014 Strategy\u00a0Canvas + Six\u00a0Paths brainstorming.<\/li>\n\n\n\n
  2. Week\u00a02<\/strong> \u2014 Interviews with three tiers of noncustomers \u2192 ERRC\u00a0Grid.<\/li>\n\n\n\n
  3. Week\u00a03<\/strong> \u2014 Buyer\u00a0Utility\u00a0Map + Price\u2011Cost\u00a0Sequence, unit\u2011economics check.<\/li>\n\n\n\n
  4. Week\u00a04<\/strong> \u2014 Tipping\u2011Point\u00a0Leadership<\/em>: identify key influencers, launch a pilot, and apply Fair\u00a0Process<\/em> (explain, engage, clarify).<\/li>\n<\/ol>\n\n\n\n

    Book case \u2014 Cirque\u202fdu\u202fSoleil<\/h3>\n\n\n\n

    Eliminate<\/em> \u2014 trained animals, superstar acrobats.
    Reduce<\/em> \u2014 number of annual shows.
    Raise<\/em> \u2014 theatrical music, storyline, costumes.
    Create<\/em> \u2014 drama and narrative.
    Result:<\/strong> circus becomes \u201ctheatre\u2011circus\u201d, ticket price \u2191, costs \u2193.<\/p>\n\n\n\n

    Remember this<\/h3>\n\n\n\n
      \n
    • Value innovation<\/strong> = high perceived value + low cost.<\/li>\n\n\n\n
    • ERRC<\/strong> is the core: drop the needless and create the new at once.<\/li>\n\n\n\n
    • Blue oceans fade<\/strong> \u2014 redraw your Canvas every 2\u20133\u00a0years.<\/li>\n<\/ul>\n\n\n\n
      \n

      \u201cStrategy is about choosing what <\/em>not<\/em><\/strong> to do.\u201d<\/em> \u2014 Kim &\u00a0Mauborgne<\/p>\n<\/blockquote>\n\n\n\n

      \n\n\n\n

      5 tools\u2014Canvas, ERRC, Six\u00a0Paths, Noncustomers, Price\u2011Cost\u00a0Sequence\u2014form a step\u2011by\u2011step playbook for creating competition\u2011free markets. Take one step per week and validate with numbers.<\/p>\n","protected":false},"excerpt":{"rendered":"

      To quit bleeding in the red ocean of price wars and step into clear blue waters where rivals are absent and profits grow through value innovation. \u201cValue innovation is the cornerstone of blue\u2011ocean strategy.\u201d \u2014 W. Chan Kim & Ren\u00e9e Mauborgne 5 tools from the book and how to use them this week # Book […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-263","post","type-post","status-publish","format-standard","hentry","category-about-my-read-books"],"_links":{"self":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts\/263","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=263"}],"version-history":[{"count":4,"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts\/263\/revisions"}],"predecessor-version":[{"id":274,"href":"https:\/\/sagadenov.com\/index.php?rest_route=\/wp\/v2\/posts\/263\/revisions\/274"}],"wp:attachment":[{"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=263"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=263"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sagadenov.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=263"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}