Blue Ocean Strategy
Karavan uses the Blue Ocean Methodology and DU Pont Analysis to provide logical conclusion and recommendations to our clients. You can find more details about the methodology below. Traditional thinking suggests that there is a trade-off between value (to the customer) and cost (to serve)
Blue Ocean invites us to push out the frontier to create value.
Blue Ocean strategy invites us to think beyond traditional competition
Red Ocean
- Compete in existing market space
- Beat the competition
- Exploit existing demand
- Make the value/cost trade-off
- Align the whole system of a company’s activity with its strategic choice of differentiation or low cost.
Blue Ocean
- Create uncontested market space
- Make the competition irrelevant
- Create and capture new demand
- Break the Value/Cost trade-off
- Align the whole system of a company’s activities in pursuit of differentiation and low cost
Du Pont Analysis
Competitive advantage can (and should) be quantified. Most managers describe strategic positioning in terms of their customers but the essence of strategy is in the activities choosing to perform activities differently or to perform different activities than rivals. Otherwise, a strategy is nothing more than a marketing slogan.
DuPoint or Driver Tree Analysis
Therefore, we use Du Pont Analysis to create competitive advantage (differentiated) for our clients as differentiated companies demonstrate stronger performance.