Executives in heavily regulated industries, such as Healthcare, often feel their hands are tied by rules and regulations which some claim to even interfere with their ability to innovate. As such, it is not uncommon to find regulated firms competing in the same way for decades without ever challenging the status quo.

The case "Rehability (B)" illustrates how one firm created a blue ocean of new market space in the highly regulated and competitive German healthcare industry in the early 1990s.