Blue Ocean is Economics Failure

Blue Ocean Strategy
Knowledge Center

 

Next Topic

Blue Ocean Strategy > Forum > Blue Ocean is Economics Failure

Blue Ocean is Economics Failure
Mauricio Crippa, Manager, Brazil, Member
In my opinion, the idea of a Blue Ocean hurts the basic principles of economics which results in all economic profits tending to zero. Whenever an industry presents abnormal earnings, it will attract competitors. Even the creation of barriers to these new entrants is costly and soon, if the firm isn't able to create sustainable competitive advantages, the ocean will turn into red. (...) Read more? Sign up for free
 

Please register now to read all responses and to join this discussion yourself. It's easy and 100% free.

    Log in

 
Blue Ocean is Economics Failure
Ceferino Dulay, Jr., Philippines, Member
You're right in a way if you stay put after you entered a new playing field. But the idea is that you keep on innovating and if that's the culture you have developed in your organization, your "would-be competitors" will end up simply running catching up and never get to you.
 

 
Old Wine in a New Bottle?
Mauricio Crippa, Manager, Brazil, Member
Therefore, what is that new from old Schumpeterian innovative development? Or even from Porter's differentiation? I do believe the search for a market where competition is sustainably irrelevant (as precognized at the blue box above) is the search for the Eldorado (unless you're a state monopoly, of course!).
That doesn't mean I disagree from your point, it's just about the concept of BOS that, for me, is just another Harvard's "consulting seller" book.
 

 
Stagnant BOS
BNYa, Consultant, India, Member
(...)
 

 
Stagnant BOS
Mauricio Crippa, Manager, Brazil, Member
(...)
 

 
Blue Ocean Strategy is Necessary in Business
Dean Gamache, Student (University), United States, Member
(...)
 

 
Blue Ocean Strategy Does Not Really Contradict Economic Theory
Nedyalko Terziev, Student (MBA), Singapore, Member
(...)
 

         
Special Interest Group Leader
Andrew Nelson
CEO

Blue Ocean Strategy
Summary
Forum
Best Practices


Blue Ocean Strategy
Knowledge Center

 

Next Topic



About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2020 12manage - The Executive Fast Track. V15.3 - Last updated: 27-1-2020. All names of their owners.