Blue Ocean Shift: Beyond Competing Book Summary

Book Summary

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Brief Summary

How can you avoid the frustrating competition of entering your product into a saturated market? By creating an innovative product others just can’t compete with it. In Blue Ocean Shift: Beyond Competing – Proven Steps to Inspire Confidence and Seize New Growth by W. Chan Kim and Renée Mauborgne offer a step by step guide for doing just that. Read on to learn how to make your product stand apart from other products saturating the market. Including tips for every stage: from assembling a team, to conducting the right customer research, to presenting your final product. Use this guide to get your product out of competitive waters: and into the blue ocean.

About the Author

Chan Kim is a South Korean business theorist and Professor of Strategy and Management at INSEAD. He is the co-director of the INSEAD Blue Ocean Strategy Institute in Fontainebleau, France. He is the co-author of the 2005 book Blue Ocean Strategy.

He graduated from Ross School of Business. He serves as an advisor for multiple countries and is the Fellow of the World Economic Forum.

Topics

Entrepreneurship Management & Leadership

Blue Ocean Shift: Beyond Competing Book Summary Preview

Picture two oceans. First, a blue one, where there is little competition for survival. Next, a red one, that is saturated with competition for survival. Now, imagine you have a precious baby fish in your hands. In which ocean would it be more likely to thrive? You would probably choose the blue ocean because less competition means a higher likelihood of survival. The same goes for a product you’re wanting to market and sell: A product with less competition is far more likely to be successful. The key to moving your product to less competitive waters is innovation. Innovation means your product can access untapped markets, leaving the over-saturated markets where your competition lives, behind. Easier said than done, right? Luckily, Blue Ocean Shift: Beyond Competing – Proven Steps to Inspire Confidence and Seize New Growth by W. Chan Kim and Renée Mauborgne has you covered, explaining just how to use innovation to make your product stand apart from other products saturating the market. Read on for a step by step guide to getting your product out of the red ocean, and into the blue, where it can meet its potential and thrive.

Step 1: Get started

To get started, you’ll need to assemble a team and choose a starting point. Your team should consist of 10-15 people, each from the different departments that will be involved in the product’s redesign (though this will vary depending on the standards of your company). Each person on the team, besides playing a key role in the development of your product, will also communicate with their respective department to build anticipation and buy-in from their other department members. Once you’ve assembled your team, your first task will be to analyze your offerings. Offerings can include products or services that you offer. Categorize each offering as either a pioneer, migrator, or a settler. Pioneers are offerings that are the most innovative, thereby offering the best chance for growth. Migrators perform well and, though they are distinguished, aren’t innovative. Finally, settlers are offerings that are established and have incremental improvements, though they have very little potential for growth. Figure out whether your company has an even balance, or if there is one category where your company has many offerings. Make sure there’s a healthy amount of offerings in the pioneer category to ensure growth! Once you have analyzed your offerings, the starting point should become clear.

Step 2: Know where you are

It's hard to get where you’re going if you don’t know where you’re starting. To make sense of where you are, you’re going to focus on the “red ocean” we talked about earlier. To do this, you’ll need to get an accurate picture of the competition. Look at what your company has to offer, and compare it to the products and marketing strategies of leading competitors. You can also create a strategy canvas. Do this by, first, naming the industry in which you’re competing. Then, determine 5-12 factors that make a product competitive in your industry. Next,...