A firm pursuing a "blue ocean" strategy:
A)Will collaborate with competitors to create a stronger market position
B)Will utilize a best cost generic strategy,but in a completely unique way
C)Will threaten to retaliate against competitive actions
D)Will erect huge barriers to competition
E)Will pursue political lobbying

Question

Quizplus · Accepted Answer

A "blue ocean" strategy involves creating uncontested market space and making the competition irrelevant by creating a new market space. To do that, a firm needs to differentiate itself from competitors and offer something completely unique. Utilizing a best cost generic strategy in a unique way can help a firm do that. Collaborating with competitors or erecting huge barriers to competition are more traditional strategies associated with a "red ocean" approach. Pursuing political lobbying is not directly related to creating new market space or making competition irrelevant. Threatening to retaliate against competitive actions is a defensive strategy, which does not align with the proactive nature of a "blue ocean" approach.

A Firm Pursuing a "Blue Ocean" Strategy