Beyond Disruption : Innovate and Achieve Growth Without Displacing Industries, Companies, or Jobs (9781647821333) by Kim W. Chan; Mauborgne Rene A

Author:Kim, W. Chan; Mauborgne, Rene A.
Language: eng
Format: epub
Publisher: Lightning Source Inc
Published: 2023-05-02T00:00:00+00:00

The Path to Blue Ocean Strategy

Between solving an existing industry problem and identifying and solving a brand-new problem or creating a brand-new opportunity outside industry boundaries lies the path to blue ocean strategy. Here organizations redefine the problem an industry is focused on and solve the redefined problem by looking across, not within, industry boundaries in new and creative ways. As figure 5-1 shows, the result is a more balanced blend of nondisruptive and disruptive growth.

Consider Comic Relief, a UK fundraising charity formed in 1985. It redefined the problem the industry focused on, from how to persuade the wealthy to give out of pity and guilt to how to get everybody to do a little something funny for money. It then solved the redefined problem by eliminating factors the charity industry took for granted, such as fancy fundraising galas, year-round solicitations, marketing, and pity pleas, and created Red Nose Day instead, an event it holds once every two years at which everyone—young, old, rich, or poor—volunteers to perform silly antics to raise money for charity from friends, colleagues, and neighbors. Examples: coming to work in pajamas and hair curlers, a hairy man agreeing to have his back waxed in front of colleagues, or allowing friends to throw a pie in your face, all to raise a little bit of money to help others while having fun.

Unlike conventional fundraising charity organizations, Comic Relief was created across existing boundaries of the charity and comedy industries. It has attracted masses of people. To celebrate Red Nose Day, little red-plastic noses are sold throughout the country for just £1 each, making it easy to take part, have fun, and visually show a commitment to helping positively impact the world. Because Red Nose Day is held only once every two years, donor fatigue doesn’t set in, and people look forward to the next one.

By solving a redefined problem that doesn’t go head-to-head with the problem the UK fundraising industry is solving, Comic Relief’s market-creating innovation strikes only at the margin, not at the core, of the incumbent industry. The result: although Comic Relief wins a slice of traditional wealthy donors from the fundraising industry, creating a measure of disruptive growth, it also creates new, nondisruptive growth by inspiring an ocean of former nondonors to give. Today, Comic Relief has 96 percent brand awareness in the UK, is almost considered a national holiday, and has raised more than £1 billion in the UK alone.

Similarly, André Rieu and the Johann Strauss Orchestra created a new market by redefining the problem that the classical-music industry focused on. Rieu, dubbed “a maestro for the masses,” and his orchestra have consistently appeared on lists of the top-ranking touring concerts worldwide for the past twenty years, along with Coldplay, Beyoncé, and the Rolling Stones. Unlike traditional classical music orchestras, Rieu’s combines easy-listening classical and waltz music such as “Blue Danube,” “Barcarolle,” and “O Mia Babbino Caro” with contemporary music such as Michael Jackson’s “Ben” and Celine Dion’s hit “My Heart Will Go On,” which many people find more accessible.

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.