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David Brown

The art of business wars

Pepsi vs. Coca-Cola, McDonald's vs. Burger King, Pizza Hut vs. Domino's, Starbucks vs. Dunkin' Donuts, Uber vs. Lyft - the business battlefield is as intense as any national conflict. The strategies of ancient military leaders, especially Sun Tzu from around 500 B.C., are surprisingly applicable to these modern brand wars. Despite his ancient context, Sun Tzu's insights into strategy are timeless, teaching us that the lessons of history's military tacticians can guide us in the corporate arena. Careers and companies may hang in the balance, echoing Winston Churchill's wisdom that understanding the past can illuminate the future. Sun Tzu's advice to move only when advantageous, engage only when beneficial, and fight only when necessary, remains profoundly relevant for navigating today's competitive business landscapes.

The art of business wars
The art of business wars

book.chapter Cold reception in conflict

Sun Tzu's wisdom in "The Art of War" suggests that victory in battle comes from thorough preparation. This concept applies to business, particularly when entering a new market, which is akin to going to war with established players. A warm welcome is not to be expected; understanding the battle is crucial before commencing. Henry Ford's journey with the Ford Motor Company, founded on June 16, 1903, exemplifies this. At that time, less than 8,000 cars existed in America. Ford's vision diverged from his backer, Alexander Malcomson, who saw cars as luxury items for the wealthy. Ford aimed to create an affordable, reliable car for the masses. In 1906, Ford released the Model N for $600, against Malcomson's wishes. To pursue his vision, Ford established the Ford Manufacturing Company for engine production, eventually buying out Malcomson. This led to Ford controlling the entire manufacturing process, from steel mills to assembly lines. Ford revolutionized production by introducing the "integrated moving assembly line," inspired by watchmaking. This process involved unskilled workers mastering one task, contributing to a car's assembly as it moved down the production line. The Model T, launched on October 18, 1908, initially cost $825, with its price dropping over time due to Ford's production efficiencies. By 1925, a Model T cost $260, and 14.6 million units were sold by 1927. Ford's success lay in his ability to envision a radically different future and execute it with precision. In 1922, Ford's vision of selling a million cars a year was realized, not by diversifying but by perfecting the production of a single model. Great leaders distinguish themselves with vision and focus, not by merely competing. They dream big, execute their visions with tenacity, and leverage initial successes to expand further. As Sun Tzu said, "Opportunities multiply as they are seized," encapsulating the essence of seizing the moment and scaling success.

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