In this 75th article on Chanakya’s treatise Arthashastra, I’d like to talk about one very important stage of conducting business––the ‘Game theory’. All management personnel and economists are familiar with this and use it very often to analyse situations and, especially competition.
Chanakya was a pioneer of the Game theory. In Arthashastra, it is called the Mandala Theory (Circle of Kings). It consists of various multiple permutations and combinations of dealing with the enemy or the Shatru.
In a battle, when face-to-face with the Shatru, Chanakya says, “If near him (enemy), he should strike in his weak point.” (7.2.12)
But how does one strategise and make this move against the enemy (competitor) in today’s corporate world? Here are some tips:
Study the competition
Before attacking, one should always know everything there is to know about the person or the entity that needs to be countered. Remember, war is 99 percent preparation and 1 percent execution. So prepare well before you make your move. Accurate information should be gathered about the competitor, his plans, and objectives.