Managing escalation ladder

In military warfare as well as in business warfare managing escalation ladder is an all important task. Failure to grasp the timing, volume, location and deterrence in escalating would bring unintended results and devastation. Read for more:

Time is in essence in every manoeuvre opponents might undertake. A manoeuvre can be purely tactical or strategic or tactical in nature but strategic in intent. Whatever the purpose, timing the manoeuvre in escalation should be considered as of utmost importance. In business warfare for sure, timing is the real leitmotif. It pervades throughout the entire escalation exercise. Entry into a market and escalation steps in business competition must be perfectly timed to surprise the competitors in the market place.

The steps of escalation need to be slow and gradual in order not to alarm the existing competitors. Select a particular area or locality and come with small doses in varied steps so that you avoid panic spreading in the enemy camps. If you go for a blitzkrieg then the opponents respond seriously and take stronger measure of opposing you in tooth and nail. Therefore, volume is a key determinant in visualizing the likely response of opponents in the market. High stake drama as an initial step is almost counterproductive.

Responders have two choices to make. One is either respond in accordance with the severity of your escalation or simply suffer patiently and wait for the opportunity to counter attack. On the contrary, depending on the timing and volume of escalation an enemy may perceive that teaching a lesson to you is appropriate measure and come out with the forceful response.

Here comes two factors: 0ne is location and the other is the deterrence that he can endure during the course of escalation. If he chooses to hit you at high point you will be forced to withdraw. An illustration is that enemy increases wholesaler discount to his distributors who in turn go pell-mell in marketing his products. The deterrence factor is how long he can continue with large discount without it affecting his financials. Moreover your ability to hold deterrence in facing serious competition is also a crucial factor to be reckoned with.

In sum, when both parties are engaged in a battle they must be concerned with the degree of deterrence and the time span where deterrence would last. Hence, business warfare must be fought with discretion and the escalation ladder must be managed taking into account of timing, volume, location and the ability to deter attack and defence.

 

Cheers!

 

Muthu Ashraff Rajulu

Business Strategist

Mobile: + 94 777 265677

E-mail: cosmicgems@gmail.com

Blog:   Business Strategist