Blue Ocean Flashcards
What does Blue Ocean capitalise on?
Capitalise on untapped market space.
What are the two potentials of Blue Ocean strategy?
Rapide profit growth, and customer creation.
Compared to Blue Oceans, what is the issue with Red Oceans?
They are thick with competitions.
What is Value Innovation?
Create a leap in value for our customers, while also reducing costs.
What does a strategy canvas illustrate?
The factors of competition
What is the Four Actions Framework?
ERRC > Eliminate, Raise, Reduce, Create
“Which factors should be…”
“Which factors that the industry takes for granted should be raised above current standards?”
What are the three hallmarks of a good blue ocean strategy?
Focus
Divergence
A compelling tagline
Companies in red ocean tend to fuel on what?
Quality and price.
What are the 6 Utility Levers?
CSCRFE
Customer Productivity Simplicity Convenience Risk Fun and image Environmental friendliness
Why would we use the 6 Utility Levers?
To deliver exceptional values.
What are the 6 stages of the Buyer Experience Cycle?
PDUSMD
Purchase Delivery Use Supplements Maintenance Disposal
What is the “network externalities phenomenon”?
People often place little value on product or service that is used by few others.
What is a rival good?
A resource only my firm can use at any given time.
What is a non rival good?
A resource any firm can use.
What does it mean when a product is considered excludable?
It is protected by patents.
