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RED OCEAN STRATEGY
Compete in existing market space
Beat the competition
Focus on existing customers
Exploit existing demand
Make the value-cost tradeoff
(create greater value to customers at a higher cost or create reasonable value at a lower cost)
Align the whole system of a firm’s activities with its strategic choice of differentiation or low cost
BLUE OCEAN STRATEGY
Create uncontested market space
Make the competition irrelevant
Focus on non-customers
Create and capture new demand
Break the value-cost tradeoff
(Seek greater value to customers and low cost simultaneously)
Align the whole system of a firm’s activities in pursuit of differentiation and low cost.