Blue Ocean Strategy
A strategic concept (Kim and Mauborgne, 2005) that encourages companies to create uncontested market spaces rather than compete in saturated markets — red oceans. It is based on simultaneous value creation for both customers and the company.
In practice
Cirque du Soleil is the canonical Blue Ocean example: by eliminating animals and star performers from the traditional circus, cutting the associated costs, and adding theatrical storytelling, it created a category without direct competition. For an SME or franchise network, the Blue Ocean approach involves identifying which offer attributes can be eliminated to reduce costs, reduced, increased, or created simultaneously. The strategic canvas tool visualises these trade-offs.