Some examples of companies that have successfully implemented the Blue Ocean Shift strategy include Cirque du Soleil, which created a new market space in the entertainment industry, and Yellow Tail, which did the same in the wine industry. Another example is the health management company mentioned in the content, which shifted from a web-based service to a telephone counseling service, creating a new market space and value for its customers.

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Blue Ocean Shift

Released in early-October 2017 — Blue Ocean Shift — is the continuation of the award-winning Blue Ocean Strategy, a bestselling strategy book based on...

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In the field, ask buyers from each group why they traded up (or down) for one group over the other. Ask them to focus on the major factors that led to their choice. A company in the health management industry, for example, may ask customers why they decided to use a telephone counseling service to make non-urgent health decisions, rather than a web-based service.

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The Blue Ocean Shift challenges existing business paradigms and practices by encouraging companies to create new market spaces or "blue oceans" rather than competing in existing markets or "red oceans". It promotes the idea of value innovation, which involves delivering superior value to customers through a combination of differentiation and low cost. The shift also emphasizes the importance of understanding non-customers and exploring the reasons behind their reluctance to use current market offerings. This approach challenges traditional competitive strategies and encourages businesses to redefine their boundaries.

A startup in the health management industry can use the Blue Ocean Shift strategy to grow by identifying and creating new market spaces (blue oceans) that are uncontested, rather than competing in existing markets (red oceans). This can be done by understanding the needs and wants of non-customers in the industry and creating value innovations to meet those needs. For example, if the startup finds that there is a group of customers who prefer telephone counseling service for non-urgent health decisions, they can focus on enhancing this service and making it more accessible and efficient. This could create a new market space and attract more customers, leading to growth.

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