By Adam Jusko, ProudMoney.com, email@example.com
In 2005, W. Chan Kim and Renee Mauborgne had a big hit with Blue Ocean Strategy, a book that preached the gospel of leaving the bloody red ocean of relentless competition to find/create a blue ocean of plenty. How to do that? Differentiate yourself, perhaps by focusing relentlessly on an aspect of your industry that customers value, while being only OK at things that are less important. Or, combine the best of two related industries while letting their less-attractive and less-profitable aspects fall away.
- Southwest Airlines, going high on service, low on price, while largely doing away with amenities like meals and assigned seating. Customers get a good experience at a low price and Southwest saves money vs. the way other airlines do business.
- Cirque du Soleil, combining the best of the theater and the circus, while doing away with costly and controversial live animal shows.