Management features in the implementation of the "Blue Oceans Strategy"

Abstract

In conditions of intense competition in the market space, two oceans have been formed – «blue» and «red». Each of them has its own characteristics and conditions of existence in it. The «red oceans» are highly competitive, conditions and rules are clearly defined, all participants follow certain rules and the possibility of profit growth is limited. In the «blue oceans», the opposite happens because it marks untapped market areas, requires creativity, gives the opportunity to grow and make a profit. As practice shows, the concept of «blue oceans» should be used if the company has a small market share but in conditions of high competition. Therefore, the company provides the formation of competitive advantages for a certain period. However, it should be noted that a critical resource in a highly competitive environment is time, and when this strategy ensures the achievement of goals, it is advisable to apply the strategy of formation brand of the enterprise, which will strengthen the competitive position in the market and continue the life cycle of a product or service.