I have likened business strategy several times (as have others) to military theory, sadly because the art of war seems to be something we are very good at as a species but also because the analogy fits into the business environment very well. Let us face it; business can be a hostile environment where strong businesses with strong leaders succeed where the weaker fail. Business isn't a place for the faint of heart.
The principles of military strategy set down by Sun Tzu in "The Art of War" are still relevant to military strategy today and consequently to the world of business. Probably, the most famous of these principles sets out that to succeed in battle you should know yourself and your enemy, for in not knowing either, the outcome of battle becomes less certain.
In business, knowing the strengths and weaknesses of the internal structure of the business as well as the products and services in the business armoury are paramount to the success of company strategies. Misjudging any element of internal business can lead to over extension of resources, poor customer service and failure to accomplish sales targets to name but a few. Knowing yourself like the ancient text says is logically important, but who in this business scenario is the enemy?
In battles there are clear defined opponents but in business who comes closest to being the opponent? As a protagonist, competitors in the market place would fit the model of an opponent and certainly knowing their strengths and weaknesses is an important factor in developing business strategy. But in war as in business there are a multitude of different players all of which have the potential of being an opponent. In business, the changing market can be a potent force in the same way that the changing weather can cripple an army. Having the right knowledge to utilize the technology at hand can be an important factor as well. In the same way that the arms race saw superpowers clamouring to develop new technology to beat his opponent, business technology is developing at the same exponential rate. Knowing not only how the latest technology works but developing it in the right way is becoming the arms race of corporate strategy.
Intelligence gathering may be the key to armed success but is also the key to business success. Any external factor has the potential to harm your business whether it is in not effectively using the internet in a modern technology age or not adapting to the latest economical changes. The answer in all scenarios is having the knowledge to deal with the situation.
So get your espionage units ready for that intelligence gathering so that you are armed with that all important information so that you are ready for the next battle.
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