This is the first part of two-case series of Zappos's blue ocean strategic move as an innovative online shoe retailer. Part A focuses on how Zappos reconstructed the existing boundaries of the online footwear retail industry. It describes Zappos's distinctive value proposition that is neither an offline nor online shoe store in the conventional sense.

The second part of Zappos case focuses on Zappos's people proposition, which led to high performance and raised barriers to imitation. It demonstrates the importance of Fair Process that builds deep trust and commitment in the company, making it difficult for competitors to imitate Zappos.

This case introduces the application of blue ocean strategy in the context of managing a business portfolio at the corporate level. Apple created future profits and growth not by exploiting existing demand, but by reconstructing industry boundaries to create new market space and unlock latent demand.