Blue Ocean Strategy

Blue Ocean Strategy

 

 
Paper instructions:
For over 90 years Disney has provided family entertainment. Do a little research about Disney and visit the official site for all things Disney http://disney.go.com. Is Disney in the red ocean or blue ocean? Has Disney created uncontested market space and made the competition irrelevant?

Additional Information:
What is a Blue Ocean Strategy (BOS)?
•BOS is the simultaneous pursuit of differentiation and low cost.
•The aim of BOS is not to out-perform the competition in the existing industry, but to create new market space or a blue ocean, thereby making the competition irrelevant.
•While innovation has been seen as a random/experimental process where entrepreneurs and spin-offs are the primary drivers – as argued by Schumpeter and his followers – BOS offers systematic and reproducible methodologies and processes in pursuit of blue oceans by both new and existing firms.
•BOS frameworks and tools include: strategy canvas, value curve, four actions framework, six paths, buyer experience cycle, buyer utility map, and blue ocean idea index.
•These frameworks and tools are designed to be visual in order to not only effectively build the collective wisdom of the company but also allow for effective strategy execution through easy communication.
•BOS covers both strategy formulation and strategy execution.
•The three key conceptual building blocks of BOS are: value innovation, tipping point leadership, and fair process.
•While competitive strategy is a structuralist theory of strategy where structure shapes strategy, BOS is a reconstructionist theory of strategy where strategy shapes structure.
•As an integrated approach to strategy at the system level, BOS requires organizations to develop and align the three strategy propositions: value proposition, profit proposition and people proposition.
Resources:
*http://blog.hubspot.com/blog/tabid/6307/bid/54/Blue-Ocean-Strategy-A-Small-Business-Case-Study.aspx
*Chapters 1 & 2 of Blue Ocean Strategy
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