Business strategy can be defined in various ways. According to the oxford dictionary, it is a plan designed for a particular purpose. It can also be viewed as the direction and scope of a company over a long span which translates into an advantage for it through its utilization of resources in a challenging market to meet its objectives (Whittington 28). Bryson (15) defines strategy as a pattern of purposes, policies, programmes, actions, or resource organization that clearly determine what an organization does, and why it does it. In all these definitions, there are some common strands of strategy that can be used to summarize what it is about. It is viewed as a long term activity which seeks to utilize resources available to position the organization in a competitive market situation. In essence it is a long term approach to implementing a company’s business plans in an already challenging business environment.
The centrality of a strategy for every business has led to the application of different approaches to achieve the main objectivity. The recent financial constraints on most economies have necessitated implementation of creative ideas from the long tried and outdated models of cut-throat competition. Any discussion on business strategy must thus factor in these new approaches to give a sense of wholeness to its analysis. The business strategists have the leeway to chose from any new models of laying strategies as long as it suits their companies. The bottom line in laying the strategy must be the recognition of an opportunity when it arises. However the action taken should not be knee jerk but must arise from an already set course of action which is referred to as a business plan. The new model that most businesses are trying out is called the blue ocean approach. This is contrasted to the old approach of stiff competitive tactics to create profits and in this case, it is referred to as the red ocean strategy. The two terms were first used by W.Chan Kim and Renee Mauborgne in their business book, Blue Ocean Strategy.