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Oct 24, 2008

STRATEGY BLUE ocean

Strategies to compete in the competition is very tight can cause "sea of blood" for companies that compete or are put-off. This strategy as Bloody or Red Ocean Strategy. W. Chan Kim and Renee Mauborgne said that the Red Ocean Strategy is no longer effective to create growth and profits in the future. They are proposing a new strategy called the Blue Ocean Strategy. Differences between the Red Ocean Strategy and Blue Ocean Strategy, among others, on to the market, competition, demand, values and strategy.
Red Ocean Strategy considers that to compete it is to compete in the market space that, while the Blue Ocean Strategy, considers that compete is to create market space that is not their. The market is very broad "blue ocean". Because the market is very broad, companies can choose the market as the heart. Red Ocean Strategy to use the concept can grow and benefit with the defeat competitors in the competition. Blue Ocean Strategy by using the concept to create competition that does not exist. Because the competition is not there, then

only company to compete with himself without another company. The company will win the competition unopposed. Red Ocean Strategy exploit the demand that exists limitless. Blue Ocean Strategy to create and capture new demand. Red Ocean Strategy to achieve excellence create value, then the Blue Ocean Strategy to achieve excellence without the need to create value. Red Ocean Strategy unified system with the overall activities of the company by selecting a differentiation strategy or overall cost leadership strategy (the low-cost strategy), while the Blue Ocean Strategy unified system with the overall activities of the company in implementing the strategy and differentiation strategy of leadership in the overall cost of co - same. Blue Ocean Strategy two aspects. First, how to find and develop the blue ocean. To find and develop the blue ocean, with the launch of new industries such as a complete eBay auction conducted on the Internet and do more with the general idustri expand the boundaries created by the red ocean. Second, how and protect the blue ocean.
The competition is killed off and the other (red ocean strategy) should be replaced with or without persaing competition without having to kill (the blue ocean strategy), so the business is to be beautiful. "Therefore, we set (a law) for the Banu Israil, that he who kills one, not because the person is (kill) other people, or because not corrupt in the earth, then as if he has killed all mankind . And anyone who maintain the life of a human being, then as if he has been maintaining all human life ... .. (Al-Maidah paragraph 32).

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