In their book Blue Ocean Strategy: How to Create Uncontested Market Space and Make the Competition Irrelevant (2005), INSEAD business school professors Chan Kim and Renee Mauborgne coined the term "blue ocean" to describe a new market with little competition or barriers standing in the way of innovators. The vast "empty ocean" of market options and opportunities that occur when a new or unknown industry or innovation appears is associated with high potential profits.In a blue ocean, there is ample opportunity for growth and profits. This is in contrast to a "red ocean" which is a market that is already crowded with competitors. When a market is saturated, it becomes much harder for new businesses to break in and succeed.
The key to success in a blue ocean is to find a way to stand out from the crowd. This can be done by offering a unique product or service, or by targeting a new or under-served market. Blue ocean businesses are often able to charge premium prices and enjoy high levels of customer loyalty.If you're looking to start a business, the blue ocean is a great place to start. There are endless possibilities and the potential for success is high. However, it's important to remember that competition can appear at any time, so it's important to always be innovating and looking for new ways to stand out from the crowd.
