Tuesday 18 October 2011

On Marketing Strategy - Understanding the Environment - Terrain

The top strategists understood the need to know the terrain one operates in.

For firms fighting over the same market, the terrain that must be grasped and then exploited includes the market (profile), the environment (aks the landscape) eg politics, the economy and technology. That is the playing field on which enterprises succeed or fail but over which they have very little say. 


Machiavelli said on terrain. “He [the prince] should, therefore, never take his mind from this exercise of war, and in peacetime he must train himself more than in time of war.…He must also learn the nature of the terrain, and know how mountains slope, how valleys open, how plains lie, and understand the nature of rivers and swamps; and he should devote much attention to such activities. Such knowledge is useful in two ways: first, one learns to know one’s own country and can better understand how to defend it; second, with the knowledge and experience of the terrain, one can easily comprehend the characteristics of any other terrain that it is necessary to explore for the first time.…A prince who lacks this ability lacks the most important quality in a leader; because this skill teaches you to find the enemy, choose a campsite, lead troops, organize them for battle, and besiege towns to your advantage.” 



Sun Tzu devotes a chapter to terrain and the appropriate, associated tactics and strategies. “We may distinguish six kinds of terrain: accessible ground, entangling ground, temporizing ground, narrow passes, precipitous heights, positions at a great distance from the enemy.” Von Clausewitz offers: “There are certain constant factors in any engagement that will affect it to some extent…[one of] these factors [is] the locality or terrain…which can be resolved into a combination of the geographical surroundings and nature of the ground.” Notice the use of the expression “constant factors.” That is the notion of those things that cannot be controlled in a competitive environment; hence, they must be taken as a given by all competitors. Von Clausewitz also devotes a chapter to terrain, which he argues “bears a close and ever-present relation to warfare.” 


Dr Brian
CEO The Centre for Market Development - info@marketing.org.au


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