In this provoking book from the 1990s, Adam J. Brandenburger and Barry J. Nalebuff say that business is a game where you are sometimes competing and sometimes cooperating with other players in your industry. Cooperation generally leads to an expansion of the business pie and competition to a slicing up of the pie.
The PARTS of the new business strategy:
P stands for the players in the game (following the 'Value Map' approach outlined earlier);
Players Questions:
Have you written out the Value Net for your organization, taking care to make the list of players as complete as possible?
What are the opportunities for cooperation and competition in your relationships with customers and suppliers, competitors and complementors?
Would you like to change the cast of players? In particular, what new players would you like to bring into the game?
Who stands to gain if you become a player in a game? Who stands to lose?
A stands for the added value that a company can bring to any of the players;
Added Values Questions
What is your added value?
How can you increase your added value? In particular, can you create loyal customers and suppliers?
What are the added values of the other players in the game?
Is it in your interest to limit their added values?
R represents the rules of the game or business in which a company or organization is participating;
Rules Questions
Which rules are helping you? Which are hurting you?
What new rules would you like to have? In particular, what contracts do you want to write with your customers and suppliers?
Do you have the power to make these rules? Does someone else have the power to overturn them?
T represents tactics, which are essentially ways of influencing perceptions of how your organization fits into the game; and
Tactics Questions
How do other players perceive the game? How do these perceptions affect the play of the game?
Which perceptions would you like to preserve? Which perceptions would you like to change?
Do you want the game to be transparent or opaque?
S stands for the scope of the business, or the linkages between you and any of the other players in your Value Net (who in turn may be linked to other games, thus representing opportunities for you to expand or change your own operation).
Scope Questions
What is the current scope of the game? Do you want to change it?
Do you want to link the game to other games?
Do you want to de-link the game from other games?
[From the Great Books Series. Also see The Success Manual - Encyclopedia of Advice, which contains summaries of 100+ Most useful books.]
