CHAPTER 6

 Strengthening A Company's Competitive Position: Strategic Moves, Timing, and Scope of Operations.

1. What is BLUE OCEAN STRATEGY? B.O.S is a business strategy book first published in 2005 and written by W. Chan Kim and Renee Mauborgne of the Blue Ocean Strategy Institute at INSEAD. The book illustrates what the authors believe is the best organizational strategy to generate growth and profits. B.O.S suggests that an organization should create new demand in an uncontested market space, or a "Blue Ocean", rather than compete head-to-head with other suppliers in an existing industry. 

First Edition Cover

Miss Ummi said this is an interesting book to explore with pleasure in order to have more understanding in strategic management. so friends, you can either read it online or buy it at bookstores near you. :)

 2. Sometimes, a company's best strategic option is to seize the initiative, go on the attack, and launch a strategic offensive to improve its market position. The best offensives use a company's most powerful resources and capabilities to attack rivals in the areas where they are weakest. ^^

3. Next is horizontal and vertical scope where Horizontal Scope is the range of product and service segments that a firm serves within its focal market while Vertical Scope is the extent to which a firm's internal activities encompass one, some, many or all of the activities that make up an industry's entire value chain system.

4. A strategic alliance is a formal agreement between two or more separate companies in which they agree to work cooperatively toward some common objective. 

5. A joint venture is a partnership involving the establishment of an independent corporate entity that the partners own and control jointly, sharing in its revenues and expenses. 

6. Merger is the combining of two or more firms into a single corporate entity that often takes on a new name. 

so, that's it. see you next time!  thank you