on the subject of COMPETITION

On a number of occasions I have stated that healthCare cybernetics (hCc) does not climb onto bandwagons – and does not join rat races.

And for me, “head-to-head competition” is the most wretched of rat races.

This is because it is a “zero sum” game (in order for one to win someone else needs to loose).

Instead, I have been urging: “create a proprietary market”.

And this is before I belatedly stumbled upon “Blue Ocean Strategy” (the book published in 2005 and written by W. Chan Kim and Renée Mauborgne).

(Constantine Constantinides)


See also: Applying “Blue Ocean Strategy” to Health Tourism Destinations - Create a Proprietary Market instead of battling Competitors (http://www.healthtourismpolicyandstrategy.com/Policy-and-Strategy-Papers/Applying-Blue-Ocean-Strategy-to-Health-Tourism-Destinations-Short.pdf).

 

On "competition" by W. Chan Kim and Renée Mauborgne (Blue Ocean Strategy)

  • Companies need to go beyond competing - To seize new profit and growth opportunities, they also need to create Blue Oceans
  • Value Innovators never say: "here's what the competotors are doing - let's do this in response"
  • Create Uncontested Market Space and make competition irrelevant
  • Firms need to go beyond competing and the mere improvement of product or services in overcrowded industries - and instead, pursue Value Innovation to open up new Market Space - and make competition irrelevant
  • The more you look to competition, the more you end up looking like the competition
  • Go where the Profits are - and the Competition isn't
  • Monitor competitors - but do not use them as benchmarks
  • Blue Ocean Strategy doesn't aim to out-perform the competition - it aims to make competition irrelevant by reconstructing Industry Boundaries
  • Companies that break away from the competition pay little heed to matching or beating rivals or carving out a favorable competitive position
  • At Blue Ocean strategy's core is the notion of a shift from competing to creating new market space - and hence, making competition irrelevant
  • To win in the future, companies must stop competing with each other
  • Companies already understand how to compete in Red Oceans - what they need to learn is how to make competition irrelevant
  • The Buyer - not the Competition should be placed at the center of Strategic Thinking
  • With supply exceeding demand in more industries, competing for a share of contracting markets, while necessary, will not be sufficient to sustain High Performance
  • The best way to beat the competition is to stop trying to beat the competition
  • In Blue Ocean the competition is irrelevant because the rules of the game are waiting to be set
  • Every Blue Ocean has considerable barriers to immitation - so you will leave your competitors decades behind you (more often than not, a Blue Ocean Strategy will go without credible challenges for many years)