Forget about positioning as you knew it. Think of strategy as reconstruction. Desegment rather than segment your markets. Reach out to noncustomers. Pursue both differentiation and low cost.
The list is long. BOSS immerses your course participants in a blue ocean strategic mindset, so they can strive to move from a highly competitive Red Ocean to a Blue Ocean of new market space.
The Key Learning Points covered throughout a BOSS exercise are the following:
- Strategy should go beyond positioning within the existing industry’s
structural conditions.
- Think of strategy as reconstruction – growing the industry and growing demand.
The Six Paths reveal ways
to reconstruct market boundaries and open up avenues to noncustomers which, if
nurtured, allow an organization to create and capture new demand, consequently
generating high growth.
- High growth can be achieved in an existing Red Ocean
industry by creating a Blue Ocean.
- Desegment rather than segment markets.
- Reach out to noncustomers, rather than just to the industry’s existing customers.
Searching for
commonalities across noncustomer groups allows organizations to see how to
capture the largest share of noncustomers.
- Pursue both differentiation and low cost.
By
reconstructing market boundaries and focusing on the four actions framework of
Eliminating, Reducing, Raising and Creating, organizations can achieve both
differentiation and low cost; these are no longer tradeoffs.
- Strategic price to unlock early demand and keep competitors at bay.
The importance of strategic
pricing and the price corridor of the mass is highlighted. There are many
cases in which the failure to price strategically has led to locked demand and
lack of pressure on new entrants and competitors to lower their cost
structures.
- Blue Oceans can become Red. Strive for a Blue Ocean as competitors imitate.
Companies have the option to
create Blue Oceans in services and distribution, not only with their products,
as most organizations traditionally believe. They can rotate the creation of
Blue Oceans between Products, Services and Delivery Platforms. Most
organizations limit their strategic options by focusing on only one dimension
of strategy.
- Dramatic profit growth depends primarily on the strategic move. There are no permanently excellent organizations. They are only as good as their strategic moves.
Understand how the BOSS stages illustrate the key learning points and learn more about the methods.