Required Reading: Blue Ocean Strategy

This book has been around for quite a while now, first published back in 2005. The target audience would be the product manager or anyone involved in the development of a new product or service. Blue Ocean Strategy will require you to focus on what is important, and what is superfluous.

What the authors mean by the term, "Blue Ocean" is an analogy for peace and tranquility. That tranquility comes from having no real competition around you for miles and miles, as far as the eye can see.

This is contrasted against the notion of a, "red ocean," which gets its name for blood infested, shark filled waters. This is what happens when there is extremely intense competition, particularly with a focus on price. 

W. Chan Kim and Renée Mauborgne study many companies and provide insightful analysis into how they redefined their respective industries.  Two prominent examples in the book are Cirque Du Soleil and Southwest Airlines.

Each in their own way redefined their respective markets.  The latter of which has now spawned new competitors like JetBlue; which provides and another important lession:  You cann't just innovate once and call it a day.  You have to constantly evaluate and adapt to changing markets and swim back toward the bluer waters.

Cirque Du Soleil figured out there was one very expensive component to the circus that yielded very little value:  animals.  Their care and feeding costs a small fortune.  By eliminating this aspect they were able to dedicate many resources toward the performer, which is what they thought and have thus proved are what people really want to see - a good show.

Blue Ocean Strategy is crammed with many examples that will above all make you think about what your customers truly value, and what is not worth your resources.