Higher growth through the Blue Ocean Strategy: implications for economic policy
Article type: Abstracts From: Strategic Direction, Volume 28, Issue 9
Lindic J., Bavdaz M., Kovacic H.Research Policy, June 2012, Vol. 41 Issue: 5, Start Page: 928, No. of pages: 11
Higher growth is a key goal of companies, governments, and societies. Economic policies often attempt to attain this goal by targeting companies of certain sizes that operate in specific industries and focus on a specific business activity. This approach to policy making has considerable shortcomings and seems to be less than fully effective in increasing economic growth. We suggest a new approach to policy making that stems directly from the entrepreneurial perspective. This approach examines a successful business strategy framework – the Blue Ocean Strategy – to discover conditions for high growth. We test the propositions on empirical data for two cases of successful high-growth business, namely Slovenian gazelles and Amazon.com. The results reveal a gap between the macro level of economic policy making to achieve higher growth and the micro level of business growth. The findings call for a change in the focus of economic policies on specific size companies, industries, and business activities to intra-industry cooperation, collaboration between companies of different sizes, value innovation, and creation of uncontested markets. Article type: Research paper ISSN: 0048-7333 Reference: 41AJ395
Keywords: Blue Ocean Strategy, Growth, Innovation, Policy making
