Hello! Welcome to Michael's Business Top Tips.
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This time, we're looking at a very exciting business strategy: Blue Ocean Strategy.
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What is it?
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Well, this strategy argues that most companies are fighting in Red Oceans,...
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...where they're competing for market share.
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Now, the Red Ocean refers to the bloodshed during this fierce competition.
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Blue Ocean is where you create a whole new market,...
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...where in the beginning, there are no competitors.
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This is a whole new way of thinking about business strategy.
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While they're focusing on market share, where often you're competing on price or volume,...
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...here, you have no competition to worry about.
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Let's look at an example, Starbucks.
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Before Starbucks, coffee shops mainly competed on who could offer the cheaper coffee...
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...or the better quality coffee.
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However, Starbucks changed the coffee industry business...
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...by combining the comfortable atmosphere of a hotel lobby,...
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...big sofas, and relaxed style with still cheaper prices coffee, and best quality.
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By combining these factors, they've made a whole new kind of coffee shop experience.
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And at the beginning, they have no competitors.
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Apply this to your business.
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Think what you and your competitors are doing the same way.
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Don't just compete against them,...
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...think of a whole new way of approaching your business.
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A useful site to help you is blueoceanstrategy.com.
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This site gives you lots of tools and tips to help you create your own Blue Ocean.
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Thank you and good luck!