The Influence of Blue Ocean Strategy on Organizational Performance

Abstract

The study deals with the blue ocean strategy (BOS) that offers users a framework for making uncontested market space and diverts the outlooks from the existing competition to the creation of innovative value and demand. The purpose of the study is to determine the influence of BOS on organizational performance. In this study, we systematically examine previous research on these topics of BOS. The findings show that there is a significant contribution of BOS to the enhancement of organizational performance. The study recommends that the policymakers should perform a critical analysis of BOS before implementation to see its suitability in the desired organization. Additionally, we identify future research areas that provide scholars opportunities to push theoretical boundaries and offer further insights into the study of BOS.
 JEL Classification Codes: M31, L25

Blue Ocean Strategy: Review of Applications at Nature Elementary School Purwakarta

“…Creating a market space with no competitors is an effort to create an uncompetitive market space and refers to the development of unique educational service offerings to differentiate from its competitors and create new market space that is difficult to imitate (Rahman & Choudhury, 2019). Natural elementary schools create an uncompetitive market space through 3 strategies, namely: 1) developing a unique educational philosophy; 2) developing special programs; and 3) utilization of technology.…”

“…Implementing the blue ocean strategy also has risks and challenges, such as requiring considerable costs and time to conduct market research and develop innovative educational programs (Rahman &;Choudhury, 2019). It is proven that natural elementary schools take ten years to develop nature-based education with a lot of financial capital such as land assets, facilities, curriculum development, training and human resource development, promotion, comparative studies to the development of new programs.…”

“…Therefore, educational institutions need to consider carefully before implementing a blue ocean strategy in their business strategy. Blue ocean strategy requires schools to ensure rivalry that no other school organizes similar educational concepts around them (Rahman &;Choudhury, 2019). Because if this happens, then the blue ocean strategy carried can be said to be canceled / failed because there is competition in the same business competition (Hanggara, 2019).…”

“…In particular, we want to do so through a practical approach that describes making competitive situations irrelevant. An important research question answered through this research is how Purwakarta Natural School created BOS by adopting the four steps recommended in the Blue ocean strategy, namely ERRC (Eliminate, Reduce, Raise, Create) (Yunus &;Sijabat, 2021;Harianto & Lookman, 2021;Rahman &;Choudhury, 2019)?. This research is expected to provide a factual picture of the implementation of BOS through the ERRC and analyze its impact on the quality of education, innovation, and student learning experience…”

Impact of Customer Relationship Management (CRM) on Organizational Performance: A Study from the Perspective of Bangladesh

“…Besides, for effective use of CRM technology, an organization should establish a management system and a culture that emphasizes the customer. Rahman & Choudhury, (2019) have examined the role of technology integration, knowledge stores, and driving performance of CRM. Based on the random-effects model, they revealed that CRM technology assimilation and relational knowledge stores with higher levels lead to the superior performance of CRM.…”