"Blue" or "Red" Oceans: US Business and Trade with China

elective courses

In pursuit of a “Red” Ocean Strategy, a firm in any industry has to endeavor to enter another company’s territory, intending to displace some of its market share by producing similar widgets then selling them at lower cost, or by producing substitute products that are different such as by looking more modern, moving faster, being lighter, made of recyclable materials. On the other hand, pursuit of a “Blue” ocean strategy inspires a firm to chart new territory for itself by going “where no man has ever gone before” as on the USS Enterprise in the movie and television show “Startrek.” Over recent decades, Chinese firms going international before Pandemic struck in 2020 tended to try “Blue” ocean strategies that consist of factors outlined below from relevant publications. In this way China has endeavoured to maintain a positive rather than negative foreign economic policy, steering clear of confrontation with existing markets then all the while creating new markets for itself.

Kampus2 Website at https://kampus-student2.ckc.uw.edu.pl/course/view.php?id=7803

By decision of the American Studies Center Director agreed to by our Faculty, NO MORE THAN TWO (2) ABSENCES IN ANY COURSE WILL BE ALLOWED, with or without an excuse including a medical excuse. Upon the third absence for any reason, no grade will be entered and the Course must be repeated in another term. This rule applies to all ASC Courses from the first class meeting to the last class meeting, including the Examination. Questions should be directed to the counselor for student affairs and head of studies.

This regulation may have to be relaxed during the Pandemic to comport with Polish laws regarding the presence of persons with symptoms of illness in a crowded setting such as a classroom. Also, please bear in mind that this Course, all Courses, may have to become “hybrid” at times during this or any term, meaning part or all instruction may have to return to an online mode. Students are required to wear face masks that cover both nose and mouth in classes, unless speaking. Instructors are not required to wear mask.

At the present time, smaller courses at American Studies Center may be offered by classroom, lectures will remain online. It is possible even smaller courses will have to go online in the event an Instructor is away such as at conferences, or in the event Covid-19 Pandemic mutants emerge causing morbidity or mortality rates to escalate in the Warsaw area. If some class meetings will be held online instead of in a classroom, notice will be provided at least 24 hours before hand, and an electronic link will be provided together with Meeting ID and password, if required

“Blue” ocean versus “Red” ocean strategies were made distinct in a Harvard Business Review article by W. Chen Kim and Renée Mauborgne (2004), in which the “Red” ocean strategies are portrayed as competition in an existing marketplace with the aim being to beat the competition, exploit existing demand by focusing upon current customers, make the value-cost trade-off, and align the entire system of each firm’s activities with the need to make a strategic choice of either product differentiation or low cost. In contrast, “Blue” ocean strategies are portrayed as creating uncontested market space where there is no competition by focusing mainly on new customers (thereby making competition irrelevant), with the aim being to create and capture new demand, break the value-cost trade-off, by aligning each firm’s entire system of activities in pursuit of both product differentiation and low cost (Kim & Mauborgne, 2004, 2015). In other words, pursuit of a “Red” ocean strategy requires a firm to enter another company’s territory, intending to displace some of its market share by producing similar widgets then selling them at lower cost, or by producing substitute products that are different such as by looking more modern, moving faster, being lighter, made of recyclable materials. On the other hand, “Blue” ocean strategy inspires a firm to chart its own new territory by going “where no man has ever gone before” as on the USS Enterprise in the movies and television show “Startrek.” Over recent decades, Chinese firms when going international before the Pandemic struck in 2020 tended to try “Blue” ocean strategies with success. This appears to be an overriding objective of China’s “One Belt One Road” (OBOR) initiative from South Asia across Eurasia to Eastern, Central, and eventually Western Europe.

In pursuit of a “Red” Ocean Strategy, a firm in any industry has to endeavor to enter another company’s territory, intending to displace some of its market share by producing similar widgets then selling them at lower cost, or by producing substitute products that are different such as by looking more modern, moving faster, being lighter, made of recyclable materials. On the other hand, pursuit of a “Blue” ocean strategy inspires a firm to chart new territory for itself by going “where no man has ever gone before” as on the USS Enterprise in the movie and television show “Startrek.” Over recent decades, Chinese firms when going international before the Pandemic struck in 2020 tended to try “Blue” ocean strategies that consist of factors outlined below from relevant publications. In this way China has endeavoured to maintain a positive rather than negative foreign economic policy, steering clear of confrontation with existing markets then all the while creating new markets for itself. Sometime, presumably, companies from other countries will come to compete with China, but by then China will have moved on into new “Blue” Oceans. In this Course, we will observe industries in which China has become a leader with little to no competition, such as in “clean,” “green,” and “new” technologies, with solar power electricity generation coming to mind.

Red Ocean Strategy Blue Ocean Strategy

Compete in existing market space. Create uncontested market space.

Beat the competition. Make the competition irrelevant.

Exploit existing demand. Create and capture new demand.

Make the value-cost trade-off. Break the value-cost trade-off

Align the whole system of a firm’s activities with its strategic choice of differentiation OR low cost. Align the whole system of a firm’s activities in pursuit of differentiation PLUS low cost.

Undoubtedly, Kim and Mauborgne identified “Blue” versus “Red” Ocean Strategies as applying to private sector companies across different industries. China’s foreign economic policy, however, encompasses a set of companies, primarily state owned, known collectively by the designation of State Owned Enterprises (SOEs), and their entry into foreign markets can be perceived as pursuing patterns overlapping “Blue” or “Red” Ocean Strategies. Some 112 SOEs are supervised by the Communist Party of China (CPC) Central Commission, known as yangqi, are discussed as recipients of recent reforms by President Xi Jinping. Many other SOEs are known as guoqi, but in either case they conduct business domestically as well as internationally, in their own name or through subsidiaries (Cendrowski, 2015; Leutert, 2015; Liu, 2015).

[Selected entries to be used in Presentations and Term Papers. They are not required readings].

Asselineau, Alexandre, Fabrice Galia, Gilles Grolleau, Angela Sutan. 2013. “L'avenir de l'agriculture se joue dans un océan bleu” [“The Future of Agriculture is Played in a Blue Ocean”], La Tribune. 26 Feb. https://www.latribune.fr/opinions/tribunes/20130226trib000751020/l-avenir-de-l-agriculture-se-joue-dans-un-ocean-bleu.html

“Blue Ocean Strategy – Summary and Examples,” MBA Knowledge Base.

https://www.mbaknol.com/modern-management-concepts/blue-ocean-strategy-summary-and-examples/

“Blue Ocean Strategy: Framework and Applications,” scholar.harvard.edu.

https://scholar.harvard.edu/files/jonathanxc/files/blue_ocean_strategy.pdf

Caballero, Carlos. 2018. “A six-step strategy to find Blue Ocean for eCommerce in China,” 2Open.biz. 13 Jan. https://www.2open.biz/a-six-step-strategy-to-find-blue-ocean-for-ecommerce-in-china/

Carmela, Sammi. 2017. “Blue Ocean Strategy: Creating Your Own Market,” Business News Daily. 25 May. https://www.businessnewsdaily.com/5647-blue-ocean-strategy.html

Celeste. 2020. “Organic Cosmetics in China: Natural ingredients gaining popularity,” Daxue Consulting. 01 Jun. https://daxueconsulting.com/organic-cosmetics-in-china/

Cendrowski, Scott. 2015. “China’s Global 500 companies are bigger than ever – and mostly state-owned,” Fortune. 22 Jul. http://fortune.com/2015/07/22/china-global-500-government-owned/

Cheng, Allen. 2020. “15 Examples of Blue Ocean Strategy,” Shortform.com. 20 Mar. https://www.shortform.com/blog/blue-ocean-strategy-examples/

Chowdhury, Oindrilla. |2020. “What is Blue Ocean Strategy? Examples, Pros & Cons!” Tradebrains.in. 20 May. https://tradebrains.in/blue-ocean-strategy/

Congressional Research Service Reports. 2005 - 2017. University of Southern California (USC) Annenberg School for Communications and Journalism, US – China Institute. http://www.china.usc.edu/congressional-research-service-reports

Davis, Marguerite, and Richard Lynch. 2015. “Is higher education ready for blue ocean strategies?” University World News, No. 379. 28 Aug.

http://www.universityworldnews.com/article.php?story=2015082513171120

Dollar, David. 2016. “The future of U.S.-China economic ties,” Brookings Institution. 04 Oct. https://www.brookings.edu/research/the-future-of-u-s-china-trade-ties/

Eskandari, Meysam Jafari, Meysam Miri, Allahyar Allahyary. 2015. “Thinking of the Blue Ocean – Strategy Beyond the Competition,” Asian Journal of Research in Business, Economics & Management, Vol. 5, No. 1. Jan. https://centres.insead.edu/blue-ocean-strategy/strategy-articles/documents/Thinkingofblueoceanstrategy.pdf

“For China's Internet Companies, the Global Market Remains a Blue Ocean of Opportunity,” Benzinga.com. 02 September 2021.

https://www.benzinga.com/general/topics/21/09/22785141/for-chinas-internet-companies-the-global-market-remains-a-blue-ocean-of-opportunity

Hernandez, Javier C. 2018. “Chinese Sperm Bank Needs Donors. Only Good Communists Need Apply,” The New York Times. 11 Apr. https://www.nytimes.com/2018/04/11/world/asia/china-sperm-communist-party.html

INSEAD. 2017. Blue Ocean Strategy: Creating New Market Space Where Competition Is Irrelevant. Fontainebleau, FR: INSEAD Blue Ocean Strategy Institute.

https://centres.insead.edu/blue-ocean-strategy/documents/e-ibosi2015.pdf

Jones, David A. 2015. Four Eagles and a Dragon: Successes and Failures of Quixotic Encirclement in Foreign Policy, An Analysis. London: Bloomsbury Publishing, Plc.

Kim, W. Chan, and Renée Mauborgne. 1993. “Procedural Justice, Attitudes, and Subsidiary Top Management Compliance with Multinationals' Corporate Strategic Decisions,” The Academy of Management Journal, Vol. 36, No. 3, 502-526. Jun. http://www.jstor.org/stable/256590?loggedin=true&seq=1#page_scan_tab_contents

Kim, W. Chan, and Renée Mauborgne. 1999. Creating new market space: A systematic approach to value innovation can help companies break free from the competitive pack,” Harvard Business Review, Vol. 77, No. 1, 83-93. Jan/Feb. https://hbr.org/1999/01/creating-new-market-space

Kim, W. Chan, and Renée Mauborgne. 2004. “Blue Ocean Strategy,” Harvard Business Review, Vol. 82, No. 10, 76-84. Oct.

http://info.psu.edu.sa/psu/fnm/ymelhem/blue%20ocean%20str.v2.pdf

Kim, W. Chan, and Renée Mauborgne. 2015. Blue Ocean Strategy, Expanded Edition: How to Create Uncontested Market Space and Make the Competition Irrelevant. Cambridge, MA: Harvard Business School Press.

Kim, W. Chan, and Renée Mauborgne. 2015. “Red Ocean Traps,” Harvard Business Review, Vol. 93, No. 3, 68-73. Mar.

https://psv4.userapi.com/c610926/u3644257/docs/8d6d78352908/Harvard_Business_Review_-_March_2015_vk_com_sto.pdf?extra=lpTbPjKYjrfRVM6iNx3y6TnyXob7Uf7CpzuZbo7iCEM2dj3kBEr-hcBLchp5zBof4OZH2sHgORuUngy3BeauCe0jDRen5-sw470RyEKBSFRDJVYGT_pWPTNo5w

Kim, W. Chan, and Renée Mauborgne. 2017. Blue Ocean Shift: Beyond Competing: Proven Steps to Inspire Confidence and Seize New Growth. London: Macmillan Hachette Books. https://www.amazon.com/Blue-Ocean-Shift-Competing-Confidence/dp/0316314048/ Look Inside this book, upper left corner of the website on Amazon.com.

Kim, W. Chan, and Renée Mauborgne. 2017. Blue Ocean Leadership. Cambridge, MA: Harvard Business Review Press.

Kim, W. Chan, and Renée Mauborgne. 2017. Red Ocean Traps. Cambridge, MA: Harvard Business Review Press.

Kim, W. Chan & Renée Mauborgne. 2021. ”Do You Have The Mind Of A Blue Ocean Strategist?” BlueOceanStrategy.com. https://www.blueoceanstrategy.com/blog/the-mind-of-a-blue-ocean-strategist/?utm_source=AC&utm_medium=Email&utm_campaign=BOSS_Email1&utm_source=ActiveCampaign&utm_medium=email&utm_content=Do+you+have+the+mindset+of+a+blue+ocean+strategist%3F&utm_campaign=BOSS+Onboarding+1&vgo_ee=38brVYePNYoxHHrKgHftDpQDnzrSJKOpOgir%2FnhsAgw%3D

Koziotová, Petra. 2014. “Red, Blue, and Purple Ocean Strategy,” Prezi.com. 26 Apr. https://prezi.com/vewycskgogsb/red-blue-and-purple-ocean-strategy/

Lainos, Iasonas. 2011. “Red Ocean vs. Blue Ocean Strategies.” Athens: University of Piraeus, 68-77. http://dione.lib.unipi.gr/xmlui/bitstream/handle/unipi/4443/Lainos.pdf?sequence=2

Leavy, Brian. 2005. “Value pioneering – how to discover your own ‘blue ocean’: interview with

W. Chan Kim and Renee Mauborgne,” Strategy & Leadership, Vol. 33, No. 6, 13-20. http://marufrezabyron.com/download/article/30120126141-Blue%20Ocean%20Strategy-%20Interview.pdf

Leutert, Wendy. 2016. “Challenges Ahead in China’s Reform of State-Owned Enterprises,” Asia Policy, Vol. 21, 83-99. Jan. https://www.brookings.edu/wp-content/uploads/2016/07/Wendy-Leutert-Challenges-ahead-in-Chinas-reform-of-stateowned-enterprises.pdf

Liao, Shuping, and Yongsheng Zhang. 2013. “A New Context for managing Overseas Direct Investment by Chinese State-owned Enterprises,” East Asian Bureau of Economic Research (EABER) Working Paper No. 83. 06 Aug.

http://www.eaber.org/sites/default/files/documents/EABER%20Working%20Paper%2083_Liao%20and%20Zhang.pdf

Liu, Hanzhen. 2016. “The Role of Confucianism in Shaping Institutions of Chinese Foreign Economic Policy After 1979,” Doctoral dissertation, Faculty of Journalism and Political Science, University of Warsaw, Poland.

Lu, Jiangyong, Zhigang Tao, LinHui Yu & Grace Loo. 2018. "Mattel's Strategy after its Recall of Products Made in China,” Harvard Business Review Case Study. Cambridge, MA: HBR Publications. https://embapro.com/frontpage/blueoceananalysis/3800-mattel-s-mattel

McMinimy, Mark A., Tadlock Cowan, Joel L. Greene, Renée Johnson, Randy Schnepf. 2017. “Major Agricultural Trade Issues in the 115th Congress,” Congressional Research Service Report No. R43905. 30 Jan.

http://bic-us.org/imagens_bic/bic/arquivos/20170206/323378e6f3a943c8aeaf5ad879d4c42a.pdf

Morrison, Wayne W. 2017. “China – U.S. Trade Issues,” Congressional Research Service Report No. RL 33536. 26 Aug. https://fas.org/sgp/crs/row/RL33536.pdf

Office of the U.S. Trade Representative. 2017. Agreements: The People’s Republic of China. https://ustr.gov/countries-regions/china-mongolia-taiwan/peoples-republic-china

Pichère, Pierre, and Brigitte Feys (tr. Carly Probert). 2015. Blue Ocean Strategy Concept: Overview and Analysis. Brussels: 50minutes.com.

Randall, Robert M. 2015. “W. Chan Kim and Renée Mauborgne dispel blue ocean myths,” Strategy & Leadership, Vol. 43, No. 2, 11-14. https://centres.insead.edu/blue-ocean-strategy/strategy-articles/documents/SL-01-2015-0007.pdf

Ryun, Ned. 2017. “Trump needs to send China a clear message about what's going on in the Bahamas,” Business Insider. 05 Dec. http://www.businessinsider.com/trump-china-bahamas-2017-12?IR=T

Santiago, Omar & Morales Caballero. 2021. “Innovation as recovery strategy for SMEs in emerging economies during the COVID-19 pandemic,” Research in International Business & Finance, Vol. 57, 101396. Oct.

https://www.sciencedirect.com/science/article/abs/pii/S0275531921000179?via%3Dihub

Schawbel, Dan. 2017. “W. Chan Kim And Renée Mauborgne: How To Shift From A Red To A Blue Ocean,” Forbes. 26 Sep. https://www.forbes.com/sites/danschawbel/2017/09/26/w-chan-kim-and-renee-mauborgne-how-to-shift-from-a-red-to-a-blue-ocean/#48880a17446b

Uzzi, Brian. 2017. “How to Navigate the Politics of an Innovation Project,” Harvard Business Review, Vol. 95, No. 11, ____ - ____. Nov. https://hbr.org/2017/11/how-to-navigate-the-politics-of-an-innovation-project

World Trade Organisation (WTO). Date Ongoing. “Dispute Settlement: The Disputes, by Member, by Complainant, by Respondent

https://www.wto.org/english/tratop_e/dispu_e/dispu_by_country_e.htm#chn

Literature Updated.

“Are these assumptions preventing you from growing your business?” (2018).

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/1616a56674bc7f50

“Can Amazon Go generate profitable growth?” (2018).

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/16175ca0b916ded6

“Can these three titans turn around US healthcare?” Kim & Mauborgne (2018) Blog. https://www.blueoceanstrategy.com/blog/can-three-titans-turn-around-us-healthcare/?utm_source=Blue+Ocean+Strategy&utm_campaign=c23d5e679c-EMAIL_CAMPAIGN_2018_03_14&utm_medium=email&utm_term=0_950f42fb50-c23d5e679c-286638413

“Follow these 5 steps to create new market space (2018).

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/161894238fcb70f0

”From Red Ocean Competing to Blue Ocean Creating: An Interview with Prof. dr Renée Mauborgne.” (2018)

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/161bdd9e43539ee9

“How One Firm Moved Beyond Competing in the Cutthroat Central Asian Legal Industry,” https://mail.google.com/mail/u/0/#search/Blue+Ocean/1624e067750f7897

“How the ‘World’s Bravest Orchestra’ Found Harmony Amid Conflict.” (2018)

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/161a82a30e63f27e

Kim, W. Chan & Renée Mauborgne. “Blue Ocean Strategies & Shift: The Mental Models That Undermine Market-Creating Strategies. Blueoceanstrategy.com.

https://blueoceanstrategy.s3.amazonaws.com/download/Red-Ocean-Traps-NEW.pdf?utm_source=ActiveCampaign&utm_medium=email&utm_content=Here+s+the+Red+Ocean+Traps+primer+we+promised+you%21&utm_campaign=ROT+Primer

Kim & Mauborgne (2018) Blog.

https://knowledge.insead.edu/blog/insead-blog/business-as-a-force-for-good-a-blue-ocean-perspective-8431?utm_source=Blue+Ocean+Strategy&utm_campaign=d4a0b16611-EMAIL_CAMPAIGN_2018_03_08&utm_medium=email&utm_term=0_950f42fb50-d4a0b16611-286638413

Kim, W. Chan & Renée Mauborgne. (2021). “Visualize Your Strategy and Stand Apart: The Case of Comic Relief,” Blueoceanstrategy.com.

https://www.blueoceanstrategy.com/blog/visualize-strategy-stand-apart-case-comic-relief/?utm_source=AC&utm_medium=Email&utm_campaign=BOSS_Email2&utm_source=ActiveCampaign&utm_medium=email&utm_content=Do+this+and+set+yourself+apart+from+competition&utm_campaign=BOSS+Onboarding+2&vgo_ee=38brVYePNYoxHHrKgHftDpQDnzrSJKOpOgir%2FnhsAgw%3D

Renée Mauborgne on Lessons from Facebook, Uber and Amazon. https://mail.google.com/mail/u/0/#search/Blue+Ocean/1627215bded20c5f

“SpaceX creates its own space in outer space.” (2018).

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/16199ccf99e53e68

“Spotify’s Unusual IPO: A Blue Ocean On Wall Street?”

https://mail.google.com/mail/u/0/#search/Blue+Ocean/1629621033d5f67d

“Three key components of a successful blue ocean shift.” (2018).

https://mail.google.com/mail/u/0/#search/Blue+Ocean+News/16179caa7eccfd3b

“What Is Blue Ocean Strategy?” Blueoceanstrategy.com

https://www.blueoceanstrategy.com/what-is-blue-ocean-strategy/

White, William. 2018. “Nordstrom’s New Manhattan Store to Offer High-Tech Innovations, Cocktails,” InvestorPlace. 11 Apr. https://investorplace.com/2018/04/nordstrom-opening-manhattan-store/

Wilson, Marianne. 2018. “First Look: Nordstrom breaks new ground with Manhattan flagship,” ChainStoreAge (CSA). 12 Apr. https://www.chainstoreage.com/store-spaces/first-look-nordstrom-breaks-new-ground-manhattan-flagship/

American Chinese Benefits of Trade With Challenges

Cheng, Evelyn. 2018. “Honeywell, other US companies look to benefit from China's gigantic 'Belt and Road' initiative,” CNBC.com. 12 Mar. https://www.cnbc.com/2018/03/12/honeywell-other-us-companies-look-to-benefit-from-chinas-gigantic-belt-and-road-initiative.html?__source=yahoo%7Cfinance%7Cheadline%7Cstory%7C&par=yahoo&yptr=yahoo

Wang, Yanan. 2018. “China says no to US trade war, but vows to defend interests,” Associated Press through Napa Valley Register. 11 Mar. http://napavalleyregister.com/news/world/china-says-no-to-us-trade-war-but-vows-to/article_dc68afdf-78db-5678-8326-6dbd6cdf34ef.html

Videos on Blue Ocean, Red Ocean, Strategies

https://video.search.yahoo.com/search/video;_ylt=AwrJ6yyoVDJhQ64A0KxXNyoA;_ylu=Y29sbwNiZjEEcG9zAzIEdnRpZANDMjAxMV8xBHNlYwNzYw--?p=blue+ocean+red+ocean+strategy&fr=yfp-t-s

Comprehensive and Progressive Agreement on Trans-Pacific Trade

Londono, Ernesto, and Mokoto Rich. 2018. “U.S. Allies Sign Sweeping Trade Deal in Challenge to Trump,” The New York Times. 08 Mar. https://www.nytimes.com/2018/03/08/world/asia/us-trump-tpp-signed.html

United States, Mexico, Canada Trade Agreement

Office of the U.S. Trade Representative, “United States, Mexico, Canada Trade Agreement,” USTR.gov. https://ustr.gov/trade-agreements/free-trade-agreements/united-states-mexico-canada-agreement

KNOWLEDGE

1. Students should become aware of the metaphorical differences between "Blue" and "Red" Oceans.

2. Sometimes, "Blue" and "Red" converge, creating a metaphysical “Purple” or “Turquoise” Ocean that students should distinguish from true "Blue" or true "Red" in principle.

3. Frequently, an Ocean that starts out being "Blue" may become "Red" as competition moves in, so students should recognise this change and be capable of forecasting it.

4. Understand and be able to explain the difference between a “differentiation” strategy and a “low cost” provider strategy, as well as how these strategies may be combined in “Blue” Oceans.

5. Recognise the likelihood that businesses from China or any country including United States may commence to conduct business abroad using a “Blue” Ocean Strategy, then proactively or reactively change to a “Red” Ocean Strategy as competition emerges, becomes more intense, or transforms its character.

6. Explain some reasons why Chinese Foreign Direct Investment (FDI) may be well suited to “Blue” Ocean Strategies, particularly in “clean,” “green,” or “new” technology industries.

SKILLS.

7. Be able to assess empirically the major factors that point to either a "Blue" or a "Red" Ocean within a given industry and territory at a specific point in time.

8. Forecast industrial, supply chain, market or other changes that may point to an Ocean turning from "Blue" to "Purple" then "Red", with a time line.

9. Predict what strategic action(s), if any, to take to maintain the existence of a "Blue" Ocean for a longer time period if so desired.

10. Articulate and explain some reasons why a Chinese State Owned Enterprise (SOE) may be more likely than a Chinese Small to Medium Size Enterprise (SME) to enter a foreign including an American market following a “Blue” Ocean Strategy, then quietly change its business plan into a “Red” Ocean Strategy.

11. Articulate and explain some reasons why a Chinese SME may be more likely than a Chinese SOE to enter a foreign including an American market following a “Red” Ocean Strategy.

12. Draw correlations between “Blue” Ocean Strategies and Chinese state subsidies, then link the strategies and the subsidies to World Trade Organisation (WTO) regulations, disputes, and cross-disputes filed against each other by United States, China, European Community.

COMPETENCES.

13. Opportunities are relative and subject to fluctuation, so the skilled strategic manager should be able to determine at what point an Ocean will be so deeply "Red" that competition has eroded, necessitating either withdrawal from the industry or a change to a “Blue” Ocean area.

14. Decisions follow decisions, such that the strategic manager must be able to assess the availability of prospective ("new") customers in an anticipated "Blue" Ocean area, what factor(s) will attract them, such as low cost or, more likely, differentiation, what factor(s) will deter them.

15. Propose more effective, more efficient, methodologies for preventing and adjudicating WTO disputes, and the role “Blue” Ocean Strategies should be capable of playing.

16. Identify additional “colour” that may be added to “oceanic” strategies involving business conducted between or among nations, meaning strategies that go beyond “Red” or “Blue”.

17. Explain regulations that countries might impose to affect “Blue” or “Red” Ocean Strategies, together with the advisability of new regulations.

18. Discuss factors that are likely to motivate China or the United States to adopt “Blue” in contrast to “Red” Ocean Strategies, or that may induce them to change strategies back to Red” from “Blue”.

Assessment methods and assessment criteria.

This course will be assessed primarily by a Term Paper due at end of Course, plus an in class presentation to the Class using PowerPoint slides, plus a Midterm Examination to provide progressive feedback. If each criterion is used, the Course will be evaluated as follows:

10 percent Class Attendance and Participation

20 percent Midterm Examination to provide progressive feedback

20 percent Class Presentation *

50 percent Term Paper with Documentation according to proper style such as Chicago Footnotes or APA in text.

• Each participant will be required to make a Class Presentation lasting 20 to 30 minutes on an application of “Blue” or “Red” Ocean Strategy, with corporate examples using PowerPoint Slides. We want one (1) Presentation each week after the first startup period. At or soon after the first class meeting a sign-up sheet will be circulated requesting each participant to select a Presentation Date and (tentative) Topic that should not be changed without permission of The Instructor and an alternative Presenter. We are forecasting a class size of 18 participants. If fewer students matriculate, we will assign one Presentation per class meeting.

• 50 percent Term Paper with Documentation. By American Studies Center regulation, the end of term paper must be at least 1,500 words for a five ECTS course such as this. Term Papers may but are not required to be on the same topic as a student’s Class Presentation.

Important Notice.

By decision of the American Studies Center Director agreed to by our Faculty, NO MORE THAN TWO (2) ABSENCES IN ANY COURSE WILL BE ALLOWED, with or without an excuse including a medical excuse. Upon the third absence for any reason, no grade will be entered and the Course must be repeated in another term. This rule applies to all ASC Courses from the first class meeting to the last class meeting, including each Examination. Concerns or Questions should be directed to the counselor for student affairs and head of studies.

This term, smaller courses at American Studies Center may be offered by classroom, lectures will remain online. It is possible even smaller courses will have to go online in the event Covid-19 Pandemic mutants emerge causing morbidity or mortality rates to escalate in the Warsaw area.