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Blue Ocean Strategy, Expanded Edition by W. Chan Kim

Blue Ocean Strategy, Expanded Edition by W. Chan Kim

Author:W. Chan Kim [CHAN KIM W., MAUBORGNE RENÉE]
Language: eng
Format: epub
ISBN: 9781625274496
Publisher: Harvard Business Review Press
Published: 2015-01-12T16:00:00+00:00


FIGURE 6-6

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The profit model of blue ocean strategy

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A business model built in the sequence of exceptional utility, strategic pricing, and target costing produces value innovation. Unlike the practice of conventional technology innovators, value innovation is based on a win-win game among buyers, companies, and society. Appendix C, “The Market Dynamics of Value Innovation,” illustrates how such a game is played out in the market and shows the economic and social welfare implications for its stakeholders.



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