BLUE AND RED OCEANS IN THE TOURISM INDUSTRY: BOUNDARIES AND COMPETITION RULES

Abstract

he study found that both "blue ocean" and "red ocean" strategies exist in the tourism industry, which are implemented through boundaries and competition rules that business entities must consider to ensure their effective functioning and high performance. Thus, the research is aimed at identifying the peculiarities of forming such boundaries and competition rules. The results of the study showed that in the tourism industry, red ocean strategies are focused on competition with existing players, which is mostly manifested through price reduction and the development of new tourism products. In turn, blue ocean strategies allow businesses to go beyond the traditional tourism market and attract new clients by providing services aimed at enhancing the ecological sustainability of tourism, developing new tourism formats, utilizing innovative technologies, automating the processes of booking and selling tourism services, organizing thematic events, festivals, concerts, excursions, etc. It has been proven that each of the red and blue ocean strategies in the tourism industry tends to create various types of monopolies, based on specific rules and boundaries of competition. These concepts are related because competition rules can be used to control and regulate the boundaries of monopolies and competition environments. In the blue ocean, there are competition rules, but they are generalized, aimed at preventing abuse of market monopoly position, avoiding unfair competition, protecting intellectual property rights, and other forms of competition. If competition rules are considered in terms of the requirements for fulfilling these conditions, they are oriented towards creating monopolies based on innovation. The study has shown that competition boundaries are loud and necessary for controlling and regulating the boundaries of such a monopoly. In the red ocean, competition rules are designed to win over competitors, rather than seeking new markets or creating new products. In total, competition rules in the "red ocean" are oriented towards creating monopolies based on the ability to control prices and supply volumes on the market. In addition, in the "red ocean" strategy, competition boundaries are rigidly limited but are established depending on the desire to win over competitors.