QPractice question
In the Cirque du Soleil example, Cirque du Soleil primarily demonstrates which concept?
  1. A.BCG Growth-Share Matrix
  2. B.Cost Leadership Strategy
  3. C.Ansoff Growth Matrix
  4. D.Blue Ocean Strategy ✓
Why this answer:

Cirque du Soleil is the textbook illustration of Blue Ocean Strategy. The detailed walkthrough is in the concept guide. The other options are valid concepts but do not match the specific mechanics in this example.

How to think about questions like this

Application questions test whether you can connect a real-world example to the right framework. The trick is to ignore the surface details (industry, company name) and focus on the underlying mechanic the example illustrates.

For Blue Ocean Strategy specifically, look for the signal: Competing in red oceans (existing markets) yields shrinking profits; creating blue oceans yields growth. That signal is what distinguishes the right answer from plausible-sounding alternatives.

Editor's note Want a deeper walkthrough? Our editors recommend pairing this with Blue Ocean Strategy for a worked example you can adapt to your assignment.