In the context of business strategy, a Red Ocean refers to a market space that is saturated with competition. Companies in a Red Ocean compete fiercely to win a greater share of the existing demand, often leading to intense rivalry, price wars, and dwindling profit margins. The term was popularized by W. Chan Kim and Renée Mauborgne in their book "Blue Ocean Strategy," which contrasts Red Oceans with more innovative and uncontested market spaces known as Blue Oceans.