1. SSE – Media Management Group 8A The picture used above is for educational purpose and was taken from http://www.flickr.com/photos/bradjward/3023082302/

2. What is Blue Ocean Strategy Description: About doing business where there are no competitors. It is about creating NEW lands, not dividing existing land Focusing on the red ocean means: accepting the key constraining factors of war such as limited terrain and the need to be better (competitive) than the enemies to succeed

4. Beat the competition

5. Exploit existing demand

6. Make the value/cost trade off

7. Align the whole system of a company’s activities with its strategic choice of differentiation ORlow cost

9. Make the competition irrelevant

10. Create and capture new demand

11. Break the value/cost trade off

12. Easier to become profitable

14. These contribute to 62% of revenues, but only 39% of new profits

15. 14% of new ventures were in new markets = Blue Oceans

17. Can be created in the company’s core business

18. Focus outside the current industry

19. Incumbents often create blue oceans

20. Company and industry are the wrong units of analzsis

22. Margins on conventional consoles were low

24. Innovative way of using existing technology, not developing radically new technologies

25. Avoiding competition on graphics and processors

26. No value-cost tradeoff, margins were high