Identifying Growth Spots
Entrepreneurs have to constantly look for new growth opportunities in order to be successful in a highly competitive and unpredictable environment such as the Zimbabwean context. Blue Ocean strategies provide a gateway to growth opportunities in an innovative non-traditional way. Blue ocean strategy does not aim to out-perform the competition. It aims to make the competition irrelevant by reconstructing industry boundaries. Blue ocean strategy shows how to align the three strategy propositions -value, profit, and people
From Red Oceans to Blue Ocean Strategies
Red Ocean Strategy Vs Blue Ocean Strategy
Red Ocean Strategy
- Compete in existing market space
- Beat the competition
- Exploit existing demand
- Make the value-cost trade-off
- Align the whole system of a firm’s activities with its strategic choice of differentiation or low cost
- Structuralist approach
Blue Ocean Strategy
- Create uncontested market
- Make the competition irrelevant
- Create and capture new demand
- Break the value-cost trade-off
- Align the whole system of a firm’s activities in pursuit of
- Reconstructionist approach
Identifying Opportunities for Creating New Value
Enterprisess have to identify new ways of enhancing their competitive positions by way of looking at various dimensions of managing value that is delivered by their products and services. New Value mapping for SMMEs can be addressed from four different dimensions.
