THE BLUE OCEAN SHIFT STRATEGY OF PT CITILINK INDONESIA

• Main Author: Ayu Rahmawati, Venesia
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/47608
• Institution: Institut Teknologi Bandung

The increasing number of Low-Cost Carrier strategic group in Indonesia has created price war and lead the strategic group into a Red Ocean (Rothaermel, 2017). This Red Ocean condition had made PT Citilink Indonesia—one of Low-Cost Carriers in Indonesia—experienced loss in 2017 and 2018. Thus, PT Citilink Indonesia has to find a way to be able to survive in the intense business competition, especially with the upper limit of ticket price set by the Ministry of Transportation as well as the increasing cost factors that might crushed their bottom line even more. To help PT Citilink Indonesia to find the most suitable business strategy, this final project was conducted to find Blue Ocean (Rothaermel, 2017) for PT Citilink Indonesia that depicted in the proposed Canvas Business Model (Osterwalder and Pigneur, 2013). This final project will be applying the stages in Blue Ocean Shift Strategy (Kim and Mauborgne, 2017) such as the Current Strategy Canvas, the Buyer Utility Map, the Three Tiers of Noncustomer, the Six Path Framework and the Four Action Framework. Both qualitative and quantitative methodologies were used in this final project. The data from questionnaire, interview and focus group discussion were triangulated and analyzed. The analysis and triangulation results show that PT Citilink Indonesia needs to shift from Low-Cost Carrier Strategic Group to Middle Service Airline and provide the freighter aircrafts to grab cargo business both for domestic and international flights.