Five management strategies from the perspective of blue ocean strategy

Blue Ocean Strategy, from the book Blue Ocean Strategy, distinguishes itself from competitors by changing the existing business model, thus creating new industries. The blue ocean strategy does not advocate defeating competitors in traditional competitive industries, but advocates opening up a brand-new market space without competition through value innovation. The so-called "value innovation" means "reducing costs while enhancing value".

Blue Ocean Strategy is a very powerful way to question the value proposition, business model and develop new customers. In order to realize value innovation, it is recommended to use the analytical tool "Four Action Frames" to examine the strategic logic and mainstream business model of an industry with four important questions and explore value innovation.

Note: In addition to value innovation, we can also create a blue ocean market by exploring non-customer market segments, and then explore new areas that we have never tried before.

In the commercial canvas, the right half represents value creation and the left half represents cost, which coincides with the logic of "value innovation" in the Blue Ocean strategy, and both advocate "value creation and cost reduction".

Two cases

After integrating the value innovation of Blue Ocean strategy with commercial canvas, we recommend the following three perspectives to question your business model. These three perspectives are value proposition perspective, customer segmentation perspective and cost perspective.

From any angle, use the "four action frameworks" analysis tool to think about how the change of any element (deletion, addition and modification) affects the overall business model.

(1) cut into the analysis from the perspective of cost.

(2) From the perspective of value proposition.

(3) From the perspective of customer segmentation.