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Friday 28 May 2021

How Chinese 36 stratagem redefines Maskirovka?

 In fifteenth century Russia a new type of grand strategy was invented to keep the enemies at bay. It was dubbed as maskirovka literally meaning masquerade where the central theme is deception with a broad touch of concealment of truth. But eons ago the Chinese have perfected 36 stratagem in the middle kingdom.

Maskirovka must be implemented at one or more levels to be effective. These levels are said to be tactical, operational and strategic nature.

Tactical level

The underlying idea is to hide the truth and present a picture of falsehood as the real one. Here is a stratagem that does the job well: 

Deceive heavens to cross the sea: Listed as first stratagem in Chinese 36 stratagem, this one dictates you to mask the real goal from those who are in authority or in a position to suppress your progress in achieving goals till such time the task is completed successfully.

Operational level

The undercurrents at the operational level focus on undertaking day to day physical activities in normal manner such that no suspicion ever arise in the mind of an opponent. It intends to mislead, confuse, and mis-interpret or to dis-inform him throughout. Here is the well tested one:

Besiege Wei Rescue Zhao: The second stratagem in Chinese lore is based on distraction followed by destruction of the enemy in the battle field at the operational level. Demonstrating preparations are afoot to hit one plank, enemy quarters are led to believe that they should prepare for defence at that plank only. Next item in the agenda is to mount a stealth attack where the enemy has major important pivot to defend but loses within the early stages of the battle because it was not manned properly for defending it from sudden onslaught. 

Strategic level

Deception as a key ploy can be easily strategized when the enemy can be taken for ride. One of the chosen stratagem for strategic level is given below:

Create something from nothing: As the sixth one in the Chinese 36 stratagem this one presents a plain lie you make so that enemy believes it as truth in the very first occasion. When he reacts to it and finds there is no substance of truth he just does not bother any more. You repeat the same lie two three times and the opponent gives up paying attention at all.  At this point you make it real invasion as enemy forces are not ready with proper defence let alone making way for a counter attack and perishes in due course!

 

Cheers!

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail:   cosmicgems@gmail.com

Blog:   Business Strategist

 

 

Thursday 27 May 2021

American Sino Mania leads to geoeconomics power struggle


Uncertainty in global trade and investment environment got a shot in the arm when Donald Trump started the sanctions game. Tools of macroeconomics were used by him to intensify business warfare between China & US. This transformed the seemingly innocuous trade dispute into much more potent geoeconomics power struggle.

Nobody can deny that economics is interwoven with politics and military. In fact anyone who has cursory glance would realize that politics, economics and military are the key verticals in any meaningful strategy. Wars are fought for political reasons that are in turn prodded on by economic imperative.  By the same token, war by other means also involves the uses and sometimes abuses of economic power.

While acceding to the fact that economic security of a nation must be sacrosanct and by no means could be compromised at any time, it also behoves on national leaders that a proper balance between and amongst politics, economics and military, the so called PEM, should be maintained. 

Extending this further into international relationship, rules and procedures must be developed and accepted by all the nations in the United Nations Organization. Instituting such rules in trade & investment policy and procedures as a code of conduct by every nation must be sine quo non. Of course, there is a caveat as whatever policies and procedures there are it is the market that is final arbiter and market forces of demand and supply indeed determine price and quantity of goods transacted.

The moment a particular country, for example US turns into zero-sum game stance, by placing sanctions over trade, finance and investment it not only negates the spirit of partnership, but brings forth further strain on partners in the wake of imposing such sanctions. Plainly put, sanctions are counterproductive to the essence as victim nations are emboldened and make every effort to become still stronger as in the case of Iran. For China this was a god-sent opportunity for shedding the legendary Deng Xiaoping counsel of caution and begins to face up with America as an equal challenger in geoeconomics! 

 

Cheers! 

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail:   cosmicgems@gmail.com

Blog:   Business Strategist

 

 

Wednesday 26 May 2021

Never let anyone know what you are thinking

 Sounds commonplace stuff! Yet this is not what an ordinary man said. It was Michael Corleone the Don of the family declared while discussing plans to take on the enemies known as the Five Families who are tough competitors in the Mafia world.

In crafting business strategy what the company must hide forever is the real intention of the company in facing business competition. Michael Corleone explains this a bit more: “Conceal your intention by never revealing the true purpose of your action”.  Here lies the triangular form of facing off with your opponents: deception, concealment and objective.

A key template is deception that is built in such manner everything appears normal from outside, yet things are getting crystalized for a frontal attack on the opponent in business competition. Google does this in its own inimical style. Recently there is lot of talk and attempt by bringing Pixel by Google to the forefront. As an electronic Telco device Pixel phone has many features that iPhone or Samsung also have. Where it differs is that it can function using both Chrome based laptop and mobiles with androids. A feature that is still not integrated in many of the products currently in the market.

The real purpose of the promotion of Pixel has not been known to the wider public. Concealment of the real purpose is camouflaged in such way none can penetrate to the inner workings of the Pixel affair. The calculation of google is changing from an instrument of mobile nature to an instrument of dual purpose with the ability to combine both laptop and android in one go.  

The point is, integrating mobile phone fully with a desk top software that too configured on the Google Chrome means that real purpose is not the phone but to market Google Chrome as the staple for internet uses. Plainly put, Google wants to be the top running horse for search engine in desk top, lap top and android mobile too. This business strategy can succeed only when the triangular lines of deception, concealment and objective are dotted.

And Google is too smart that it never lets anyone know what it is thinking. What about you folks!

 

Cheers!

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail:   cosmicgems@gmail.com

Blog:   Business Strategist

 


Tuesday 25 May 2021

Why BRI is the game changer in geoeconomics?

China plays her cards well, as BRI has so far rolled out to 138 countries with a staggering US$ 200 billion by way of investment. By 2030 China would have invested humongous amount of US$ 1.5 Trillion, a feat that makes all what US has doled out under Marshall Plan to pale out into insignificance. Thus, BRI has secured unassailable position for China in geoeconomics. 

Deep pockets are with China now more than US, which has only the printing machine that spews out fiat currency notes without internal backing for its purchasing power. In contrast, China guards her Yuan and deliberately keeps it undervalued thereby allowing US Dollar to be overvalued. 

Real value of US Dollar is on steep decline. To exacerbate China has a cash reserve of more than 3 trillion US$ whose major part of it, say, 1.25 trillion is parked in the US Treasuries.  Hence US is caught on catch 22 position where she has to safeguard the value of the US$ in the international market and at the same time avoid any chance of sovereign default. Consequently, US manoeuvring in monetary economics is severely restricted.

Then China did something unthinkable. She did not use the massive dollar resources to fund China Dream domestically. She came out with a checkmate plan in her business strategy. She invented the hen that lays the golden egg that is road and bridge initiative, BRI for short. Predictably, China did not want to import the US Dollar inflation into the country if she starts spending dollar reserves domestically necessitating printing more yuan to absorb the liquidity.

Conceivably, BRI fits the overall business strategy of making China major player in the field of geoeconomics next only to US. BRI format serves twin purposes: 

Firstly, China brings prosperity to the host country which needs whale of a lot of dollars that could be used to generate employment and consequent enhancement in production of goods and services.

Secondly, the economic growth in host country is back channelled to China by way of imports of goods from China as well as payment for services rendered in terms of construction of infra-structure and other facilities inside host country.

BRI does something great by affording a big place for China in geoeconomics. Plainly put, BRI allows China having a weighted say in the host country’s domestic affairs and international relations. The overall result is that US now finds itself in a loser’s place with fewer countries toeing her line in the Anti-China narrative!

 

Cheers! 

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail:   cosmicgems@gmail.com

Blog:   Business Strategist

 

 

 

Friday 21 May 2021

Business negotiation a la Don Corleone


When Vito Corleone ascends the throne as “Don”, he is not arrogating himself with power; yet power smoothly follows to him from the way he articulates and the way he negotiates with friends and foes. 

In contrast with what Mao Tse Tung has famously said “power grows out of the barrel of the gun”, Don Corleone adopts milder business negotiation style packed with real sense of power. Here is an example!

Amerigo Bonasera is an undertaker and log time acquaintance of Don Corleone yet is unwilling to show allegiance to the Don due to his fear that he would be branded as a capo of Corleone family. One day he finds his daughter Maria brutally beaten by his boyfriend and his gang for refusing to have sex with them.  Her pitiful condition was aggravated by the fact that the perpetrators escaped from being punished by courts duly, due to their wealthy background. Incidentally, Don Corleone’s wife Carmela has previously become godmother to Maria.

Bonasera reaches out to Don Corleone on daughter’s wedding day of the Don and pleads for help from him and in the course of conversation offers him financial incentives to do justice for his stricken daughter. Don Corleone understands the perspectives of the situation and skilfully navigates in his business communication, saying:

“Bonasera!  Bonasera! What I have done to make you treat me so disrespectfully? If you’d come to me in friendship this scum who ruined your daughter would be suffering the very day.

And if by any chance any honest man like yourself made enemies they would become my enemies. And then they would fear you.

Some day and that day may never come, I will call upon you to do a service for me. Until that day accept this justice as a gift on my daughter’s wedding day”. 

Hearing this, Bonasera accepts Vito Corleone as Don and displays fealty to him. Immediately afterwards, the criminals involved in this case were given the treatment similar to what they have done to Maria and the case was closed forever. In long term Bonasera has become a great admirer and lover of Don Corleone! 

 

Cheers! 

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail:   cosmicgems@gmail.com

Blog:   Business Strategist