11 August 2007

Blue Ocean Strategy and Architecture

Blue Ocean Strategy and Architecture

I have started reading Blue Ocean Strategy ; I had seen Renee presenting her book here at Microsoft a few weeks after being published but I had not had the chance to actually read it until now. It's quite interesting so far.

The authors explain the blue ocean strategy by comparing it to a red ocean strategy (traditional strategic thinking), here are some high level rules (shamelessly copied from an Amazon's reviewer)

1. DO NOT compete in existing market space. INSTEAD you should create uncontested market space.
2. DO NOT beat the competition. INSTEAD you should make the competition irrelevant.
3. DO NOT exploit existing demand. INSTEAD you should create and capture new demand.
4. DO NOT make the value/cost trade-off. INSTEAD you should break the value/cost trade-off.
5. DO NOT align the whole system of a company's activities with its strategic choice of differentiation or low cost. INSTEAD you should align the whole system of a company's activities in pursuit of both differentiation and low cost.

I have not fully assimilated all this yet, but it seems to be that it can be applied to architecture strategy, I need to read more and spend some quality brain cycles on this. I'll tell you when I'm finished with the book.

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