Executive Briefing Note
Executive Summary
The concept of blue ocean strategy is instrumental in building business leadership and strategic marketing of the organization. Blue ocean strategy refers to the simultaneous pursuit of low cost and differentiation to opening new market space and create new demand for business products. The marketing effort under this strategy is aligned to creating and capturing unexploited and uncontested market spaces with a target objective of rendering competition irrelevant in the market. The concept views and ideas are built around market boundaries and industry structure as the flexible variables that can be restructured based on the beliefs and actions of participants in the industry. In describing the market universe, Kim and Mauborgne coined the terms red ocean and blue ocean as a strategic approach to resolving challenges in the business operations and marketing strategies.
The concepts of blue ocean strategy explain the elements that contextualize the strategy in the application. To paint the picture of a universal market, a description of both blue and red ocean is inevitable. Red ocean refers to all industries in existence, which is termed market space to align with marketing diction. The industry boundaries are clearly defined, accepted, and competition rules and principles are known to players in the industries (Sirkeci, 2013). The market is open to rivalry for the current market demand. Thus, the market space becomes overcrowded, minimizing profits and business growth. The products in the red ocean market space are converted into commodities resulting in bloody competition for the existing market share.
Blue ocean strategy reverberates all industries and market space that is not in existence today, the untainted market space. The strategy makes competition irrelevant because business organizations seek to exploited uncontested market space and creating new market demand for their products and services. Blue ocean reduces the struggle for market share, increase opportunities for rapid growth and profitability of the business as rules of the game are waiting to be set.
The paper focuses on the current marketing strategy of Blue Ocean company as well as the ideal strategic marketing envisioned by the Blue Ocean Company. The company seeks to help individuals and business organizations to make strategic management, marketing maneuvers to improve the performance and management of the firm in terms of marketing, production, and distribution of products and resources. Also, the conceptual framework integrates and synthesis to align with the most viable leadership models the firm adopts. In this paper, transformational leadership is integrated into a blue ocean strategy to improve the management and marketing strategy of the Blue Ocean company. Blue Ocean Strategy forms the concepts that are applied in the assignment to ameliorate the marketing strategy and development of the company through the creation of new market demand and expanding into uncontested market space to invalidate competition (Kim, & Mauborgne, 2014). The paper wraps with a concise conclusion that communicates the difference and changes attributed to the application of the blue ocean strategy concept to the company.
Business organization are expected to develop a robust social responsibility by supporting different activities and causes. Marketing strategies are vital units that help business entities integrate the concepts of corporate social responsibility into business, private, public and non-profit organizations. The company, Blue Ocean, can exploit this sophisticated tool into a marketing strategy to improve its performance and gain market control in the competitive environment. The paper integrates social responsibility or doing good for society to strategical gain customer trust and loyalty in the market. Some of the crucial elements include corporate social marketing, cause-related marketing, and cause promotion in the firms marketing endeavours are explored.
Table of Content
Current and Ideal State of Marketing. 5
Transformational Servant Leadership. 7
Values-Based Leadership (VBL). 8
Leadership Competency Framework. 8
Introduction
The organizations in the business world are employing different leadership, marketing, and technological strategies to boost the success of the business. In the modern world, different concepts are aligned and integrated strategically to attain optimal return in the market and the industry. The customer in the global market space is looking for companies that address vital needs, including social, economic, and environmental, justice, the business mission, vision, and values (Kotler, Kartajaya, & Setiawan, 2010). New technology is aligned with diverse marketing and leadership strategies such as blue ocean strategy, trans-nationalization, and transnational marketing strategies, and corporate social responsibility to make the society and the world a better place. Blue Ocean Company targets to attain optimal developmental success by gaining maximum market share, performance, and structural prosperity in the industry.
Current and Ideal State of Marketing
The Blue Ocean Company is in the service industry. It offers help to organizations and individual businesses achieve and surpass their best performance records and goals by turning aspirations into action plans. The company provides strategies based on the company structure to improve at all levels. The current state of marketing relies on online and internet marketing systems because many of the clients are accessible using new technology. The current state of marketing for the company is focused on offering solutions to the clients to make the business and world a better place. The customer in the global market space is looking for companies that address vital needs, including social, economic, and environmental, justice, the business mission, vision, and values. Marketing strategies need to align the products and services of the organization with all aspects of human fulfilment encompassing functional, emotional, and human spirit needs to attract and command a sizable market share (Kotler, Hessekiel, & Lee, 2012). Marketing gains more relevance to the customer lives on the impact on economic, social, and environmental turbulence and change.
Blue Ocean Company’s marketing efforts influence various aspects of social, economic, and environmental issues of the society because it inspires both its customers and its management to refocus strategies to achieves these goals. Many organizations, both profit and non-profit, and individuals benefit from the services of The Blue Ocean Company to be a voice of hope in addressing social, economic, and environmental issues to tough consumer lives at higher levels (Zander, & Zander, 2000). The firm has been using the age of participation and collaborative marketing strategy thanks to the advancement in technology. The marketing is tied to traditional marketing approaches such as advertising using both print media and online and social media advertisement mechanisms. An increase in consumer participation and collaboration is enlightened about the future of competition and changes in the role of consumers in the market.
The ideal marketing strategy is the state of the company prefers to achieve its cultural and human spirit marketing to improve firm performance. Everything in human life is an invention, and business ventures should incorporate innovation in marketing efforts to resolve the shortcomings facing the business. The marketing strategy that gains access and combines cultural issues of the customers in the business model seems to be succeeding. The marketing team needs to look at the opportunities and possibilities the market provides to either narrow capture and communicate customer human spirit values and cultural values to be attractive and gain customer approval (Kotler, Kartajaya, & Setiawan, 2010). Transnational marketing strategy integrated and aligned in the blue ocean strategy to develop the company’s market differentiation to improve the marketing and performance of the firm in the market.
Conceptual Framework
Leadership in the organization is found at all levels and is influenced by the leadership styles and models adopted. The various leadership frameworks are highlighted in this section, including transformational servant leadership, value-based leadership, and leadership competencies.
Transformational Servant Leadership
Transformational leadership is vested in the power of inspiring and encouraging followers in the organization to improve individuality and contribution based on staff passion and experience. The leadership is not restricted to top management alone; all employees and staff have the responsibility to demonstrate levels of leadership according to the structure and style the organization adopts. Under the transformational and servant leadership, managers and leaders establish a connection with staff and employees, encourage enthusiastic contributions, and deliver positive motivation and support in running the organization. The framework of leadership focuses on each individual in the team, employee, and support the positive transformation from within to benefit the whole organization. Transformational leadership upholds the principle that each individual is a leader in training, facilitating, and nurturing growth.
Servant leadership depends on the principle stating that leaders and managers assume the responsibility of serving employees rather than the other way around. The interests of the managers are not the primary priority in this situation. The ambitions, needs, hopes, and objectives of employees are prioritized; thus, employees encounter a superior level of trust from their leaders (Kim, & Mauborgne, 2014). This enables them to feel safe and free to share and suggest constructive ideas, hold an honest conversation, and pursue professional development and growth.
Values-Based Leadership (VBL)
It is the leadership framework that is built on the foundation of moral values and principles, including social responsibility, integrity, and empowerment. The leaders and managers under the value-based leadership system govern as role models through demonstration of high moral, ethical behaviour in business and striving to balance between what is wrong and right and still maintain fairness. Decision making is empowered under VBL across the organization. The strength of value-based leadership is vested in sustaining moral compass and individual responsibility, ethical decisions, honest, fairness, and resolving the challenges and issues affecting the organization’s external and internal stakeholders (Sirkeci, 2013). It is a leadership approach that is widely endorsed across different cultures in determining the effectiveness and ineffective leadership attributes in society.
Leadership Competency Framework
This is a collection of competencies that are inevitable for success in leadership positions in the firm. The company such as the Blue Ocean Company work from large leadership competency pool or library and refine the leadership competency framework on relevant competencies for their leaders. Development of a leadership competency framework, one should ensure organization-specific and focused results.
Blue Ocean Strategy
Blue ocean strategy is based on the concepts of untapped market space and the creation of a demand which results in the opportunity for high profitability and growth. Application of the strategy reveals that it could be created beyond the current industry boundaries, and many are created withing red oceans by increasing the existence of industry borders (Kim, & Mauborgne, 2014). The principles and rules eliminate the presence of competition in the market in the untapped markets spaces are waiting to be set. Value innovation is at the heart of creating a successful blue ocean strategy. Valueless innovations involve the application and use of technology. These pioneering market strategies result in engineered products and services the market is unwilling to pay for or accept its price offering. On the other hand, value without innovation drives the creation of value based on an incremental basis that is not sufficient for that stand out among many. The focus of the blue ocean strategy must learn to strategy, including strategy canvas, the flow action framework, features of good products, and fearing characteristics of a good company strategy.
The formation of the action framework understands it entails the following strategies. The first step involves eliminating variables that do not pay and add value for customers’, reduce variables that are low over-designed, and featuring other elements added to products for the to overcome competition and reduce unnecessary expenses. Others include raising the factors relevant to customers well as that which is Conte princes and create variables that have been never. A good marketing strategy includes a focus on critical areas, diverges away from competition, and promotes communication.
The principles used in the formulating policies which entail recording market boundaries. It involves the evaluation of six paths, including strategic groups within industries, a chain of buyers, alternative sectors, and delivery of complementary products. The strategy helps in focusing the picture in numerical terms were organizations to see the image taken. The visual awakening, exploration, strategy fair, and communication form the four steps to strengthen the aspects (Zander, & Zander, 2000). The next step is reaching beyond the existence of demand in the market. Under the blue ocean strategy, the employee, managers, supervisors, among others, are encouraged to open their minds and avoid thinking about the existing market customers. The commodities of three tiers of non-clients and determine approaches to generate mass support. The first tier is those clients waiting to shift ship for a better option. The second tier revolves around high prices for services and products. And the third-tier forms truly unchartered water that competition assumes.
Further steps revolve around getting strategic sequence rights confirming that the company has blue ocean ideas and evaluates four criteria, including buyer utility. Buyer utility involves Italy across about six stages of the buyer experience cycle of acquisition, delivery, use additional disposal, and maintenance. The other order of sequence includes price, cost, and adoption to resolve the handles of the issues. Other steps involve overcoming valuable organizational hurdles and building executive into a strategy.
Conclusion
The concepts of blue ocean strategy cover the strategic planning process and growth of the firm in terms of planning. The leadership frameworks devoted to the paper include transformational leadership, servant leadership, leadership competency, and value-based leadership. Transformational leadership is aimed at transforming the way things are undertaken to ensure the improvement of the organization. The servant leadership, the ruler, is where the leader serves the employees and staff across the learning institution. Moral values, integrity, ethical behaviour, and ethical principles. The strategy selected to incorporate on the paper revolves around Blue ocean strategy. The management and the firm lead a healthy life as the form of communication and support.
References
Kim, W. C., & Mauborgne, R. (2014). Blue ocean strategy, expanded edition: How to create uncontested market space and make the competition irrelevant. Harvard business review Press.
Kotler, P., Kartajaya, H., & Setiawan, I. (2010). Marketing 3.0: From products to customers to the human spirit. John Wiley & Sons.
Kotler, P., Hessekiel, D., & Lee, N. (2012). Good works! Marketing and corporate initiatives that build a better world and the bottom line. John Wiley & Sons.
Sirkeci, I. (2013). Transnational marketing and transnational consumers (p. 75). New York, Heidelberg, London: Springer.
Zander, R. S., & Zander, B. (2000). The art of possibility. Harvard Business Press.