effect, there is an existing market space and competition occurs in this market space. In blue ocean strategy, escaping from the fighting in competition thereby creating uncontested market space. ➢ In red queen effect, companies focus on innovation in same demand and same markets. In blue ocean strategy, companies focus on developing new demand and new markets. ➢ In red queen effect, being innovative is the most important term within the competition. In blue ocean, being creative is the most important term within the industry.