Monday, 5 September 2016

Judo Business Strategy: Techniques for Beating a Stronger Opponent

Judo Business Strategy: Techniques for Beating a Stronger Opponent


The idea of judo economics, building on analogies with the sport of judo, has been around for at least 20 years. But taking these ideas further to judo strategy means that a framework of strategic principles can be developed to help companies put stronger opponents on the mat.
One important not judo business technology is “If a challenger tries to capture the entire market, the incumbent will fight back – and probably win”
The following tactics can be used in a Judo Business Strategy:
 Technique no. 1: the “puppy dog ploy”
In any kind of competition, your first goal is to stay in the game. So judo strategy counsels’ challengers to keep a low profile and avoid head-to-head battles that they’re too weak to win. This advice goes against the grain for many managers. In a crowded marketplace, it’s often said, you have to shout to be heard.
Technique no. 2: define the competitive space
While the puppy dog ploy is largely about defense, with this next technique, offence comes into play. Here’s where you seize the initiative by defining a competitive space where you can take the lead. Most champions rise to the top by learning to excel at a few key skills – shoulder throws, for example, or cutting costs.



Technique no. 3: follow-through fast
By combining the first two movement techniques, you create a window of opportunity. Next, you need to use this opening to strengthen your position through continuous attack. One day soon – and these days, that’s sooner than ever – your competitors will see through the puppy dog ploy, rise to the challenges of a new competitive space and seek to bring the advantages of superior size and strength into play.
Technique no. 4: grip your opponent
By gripping an opponent early, you may succeed in pre-empting competition: securing victory, in essence, by making it unnecessary to fight. You can also build relationships with current or future rivals that limit their room for manoeuvre or allow you to benefit at their expense. Both moves will undercut their future ability to attack.
Technique no. 5: avoid tit-for-tat
Through gripping you can sometimes alter a competitor’s incentives sufficiently to head off a battle. Often, however, despite your best efforts, a rival company will eventually decide to attack. Once this happens, keeping your balance is a challenge.
Technique no. 6: push when pulled

Gripping your opponent and avoiding tit-for-tat help you minimise the prospect or impact of a competitor’s attack. With push when pulled, you go one step further by using your opponent’s force or momentum to your advantage.

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