Your business operates in a "Blue Ocean" or "Red Ocean". Generally we are in existing market space. It contains most of the companies and their waters are bloody hard for competitive battle. Markets are Red Ocean. However, there are companies that create new market space with new value propositions, highly innovative, which makes the competition irrelevant. In these new spaces, the waters are calm and blue, promising and peaceful. Blue Ocean markets are created by you. In them, you are 100% more. They are businesses that do not exist today. In Blue Ocean markets, the operator sets the rules and capitalizes on the gains. The best way to beat the competition is not competing. Innovation in the creation of value is given favorably affect the cost structure of the company and enhancing the value proposition for buyers. To that extent the value creation is much more than "innovation." See statistics: 86% of all product launches competing in red oceans. Remaining 14% in value-creating blue oceans. This 14% accounts for 62% of the profits. The blue ocean market space created, make the competition irrelevant, create and capture new demand, break the syndrome of "a higher value, higher cost" line the whole system of activities of the company in search of differentiators and lower costs. Cirque Soleil der broke the paradigm of high costs and low margins in circuses, eliminating the big stars and wild animals trained to prioritize the choreography, storytelling, music and production topics, at high prices. That raised margins and reduced costs significantly. Yellow Tail wine left the scheme, high quality by aging in oak barrels, reputation and prestige geographical regions of the vineyards, changing the "drivers" of value to the end wine simple, pleasant and easy drinking to select, with a youthful and adventurous. A formula for a moderately priced wine, attractive price and superior performance. Recommendations to develop Blue Ocean markets are 1.Reconstruir 2.Enfocarse market boundaries in the macro business and foundation 3.Extenderse beyond current demand 4.Estructurar strategic sequence right way Additionally, it is necessary to overcome the organizational barriers and build ejecucionales aspects in the strategy, ensuring alignment and harmony. It is also important sizing and risk management plan to reduce it. Southwest Airlines went back to a time that we talked about "Blue Ocean Strategies" and designed its business with skill, changing the way we think about the world of commercial aviation. No more competition from other airlines, but advocating the replacement of the car for faster service, door to door. Its success and unchallenged for 40 years. "The soul always think in images" Aristotle.
