Is the iPhone Assistant Apple's next "Blue Ocean?"
Dr. Phil Hendrix, immr
Oct. 4, 2011
In a now classic 2004 Harvard Business Review article, two professors at INSEAD, W. Chan Kim & Renée Mauborgne, introduced the notion of a "Blue Ocean Strategy," or BOS. In essence, companies pursuing a BOS gain a deep understanding of customer needs and use those insights to innovate and make competition "irrelevant." In contrast to "red" oceans - markets so named because there is fierce completion on features and price, driving margins out - the goal of a BOS is to find a new, "uncontested market space." In many ways, Apple is the poster child for BOS, having successfully created new, uncontested market spaces with the iPod, iPhone, and now iPad. With the next generation iPhone and its new "virtual personal assistant" - aptly called Assistant - Apple is likely to generate a coveted new market position and demonstrate once again its "mastery" of BOS.
(available Nov. 30th)