Summary
This case study focuses on Wawa, the convenience store, gas station and restaurant company. Founded in 1803, Wawa morphed over time from an iron foundry to a textile mill, to a dairy farm, dairy delivery business, grocery store, then convenience store. Dark clouds descended with the 2008 financial crisis. As competitors converged on Wawa, management recognized the need for a new direction. After the CEO asked his executives to review a selection of business books, they chose Blue Ocean Strategy to redefine industry boundaries, shifting away from the red ocean of competition to a blue ocean of differentiation and low cost. It used Blue Ocean Shift to achieve breakout success and thrive for a decade after its strategic pivot. Thanks to an Employee Stock Ownership Plan (ESOP), employees were already invested in the long-term success of the company. A video interview of Howard Stoeckel, Vice Chairman and former CEO of Wawa can be accessed here: https://www.blueoceanstrategy.com/teaching-materials/wawa/.