INSIGHT | The Four Dimensions of Blue Ocean Strategy
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INSIGHT | The Four Dimensions of Blue Ocean Strategy

By Abdulraheem Ali Alghamdi 
College of Administrative and Financial Sciences, Taif University, Saudi Arabia

INSIGHT | The Four Dimensions of Blue Ocean Strategy

The term "Blue Ocean Strategy" is considered as one of the modern terminologies in the field of business administration in general and marketing management in particular are considered to be the first to use this term. It refers to the clear blue water color that is not contaminated or infected by the blood red color of water, defined Blue Ocean Strategy as Unused space in the market, where demand can be created, with a chance for profitable growth. 

Image Attribute: Red Ocean vs. Blue Ocean Strategies
Image Attribute: Red Ocean vs. Blue Ocean Strategies 

Dimensions of Blue Ocean Strategy includes; 

1. Increasing 

Increasing means that the organization is adding some activities, procedures or materials that result in increased and improved quality of the products offered to customers, and that lead to an increased level of the profits size.


By increasing their distribution outlets specialized in contacting the user to increase the market share and increase the quality of service provided which increases the confidence of the user in the company.

2. Elimination 

Elimination means that the organization excludes any unnecessary processes to reduce costs without affecting the quality, sales and profits, such as the exclusion of individuals who disturb the organization's work and who get high wages.


By eliminating materials and procedures that are not necessary, without compromising the quality of service and the size of the sales, reducing marketing costs to a minimum through getting rid of inefficient staff who hinder their competitive superiority and excluding everything that is not necessary for the process of service production to raise the efficiency and effectiveness of the service provided.

3. Reduction 

Reduction means that the organization cuts or reduces some of the work processes that it deems unnecessary or unjustified and that can contribute to reducing the overall costs with maintaining the stability of profits and increasing the quality, like reducing some unnecessary services provided to customers.


By reducing non-essential services, getting rid of ideas that can hardly be executed, and of useless weak and poor quality services, reducing unnecessary expenses, stopping the ideas even if they are economically and technically good and reducing waste and loss in service production requirements and time allocated to deliverable.

4. Creativity 

Creativity means that the organization is creating new jobs and products and is also creating a better working environment for its employees. In addition, its use of innovative ways and methods in the marketing processes (creation of a product, creation of a price, creation of promotion, creation of distribution).


Adopting a policy to provide new ideas and services, in line with society's needs and desires, and encourage their employees to offer new ideas, providing them with full freedom in participating with the senior management to introduce new and innovative ideas, as well as giving them financial and moral rewards for each new idea that serves the company.

This insight is an excerpt from a research paper, titled - "Market Knowledge, Blue Ocean Strategy, and Competitive Advantage (Direct and Indirect Relationships and Impact)" , published at Universal Journal of Management 4(4): 141-160, 2016 DOI: 10.13189/ujm.2016.040401 under Creative Commons License 4.0

Download the Paper - LINK