In marketing, most are familiar with the defense and attacking strategies. However, many are not familiar with flanking. The reason is, it is more difficult, needs careful planning, daring, imagination and followed by quick consolidation of the gains. Alexander the great was the supreme grand master at flanking warfare. What he lacked in numerical superiority was always made up by superlative planning, tactics and strategy. It is also the boldest form of attack. Flanking is used for attacking a bigger, stronger and well entrenched opponent. A direct attack on such an opponent will require an overwhelming superiority of all types of resources, as the opponent will be on a high ground or well entrenched. Direct attacks on a market leader very rarely succeed. Throughout the human recorded history, we have never heard of anyone winning in such a scenario. They all won when they flanked the stronger opponent.
Stealth, Speed, Shock and Surprise are the key elements in launching a flanking attack. The flanking attack must be most audacious and appear as a probable impossibility to the attacker, but should appear as an improbable possibility to the enemy. In actual warfare, a commando attack on a key objective or target normally precedes a flanking move by regular forces against a well entrenched enemy. If you want to be good at strategy formulation, don't restrict yourself to reading Dr. Philip Kotler. Read a lot of history and books on military strategy and use the principle behind the ideas. If I had my way, I would make History a compulsory subject for all MBA students in B - Schools.
Flanking is the most difficult strategy. Amongst all strategies available, it calls for extraordinary skills. It also calls for availability of reasonable financial and other resources to attack and then consolidate the gains. In practice, it is seen that sufficient resources are not available with most, as the war develops into that of attrition. This is the main reason for most flanking attacks to fail. The market leader will always adopt a defensive posture.
It may sound paradoxical, but it is always easier to attack a bigger opponent than a smaller opponent. A pack of hyenas or wild dogs or wolves usually kill a lion or an elephant or a wild bull. Giants do not win against Guerillas. US Armed Forces lost in Vietnam. The Soviet Armed Forces lost in Afghanistan. The US and the British Armed Forces are waging a losing war in Iraq. The US and NATO forces are losing in Afghanistan. Indian Armed Forces are struggling in Kashmir for the past two decades. Indian King Porus lost to Alexander the Great 2500 years ago. History is replete with such instances. The only way giants can win against flanking and guerilla attacks is by starving them. That means attrition and a long haul. The same rule applies in business.
The Anti Trust or MRTP commissions will come down on you like a ton of bricks, if you adopt strong arm tactics. Microsoft's biggest threat is the Anti Trust wing of the Justice department in USA and EU, with help from rest of the biggies in the software industry. All the giants have a common enemy in the Anti Trust or MRTP commissions or Consumer Groups. You have environment groups to contend with. Rest will have to launch either a flanking or a guerilla attack in niche markets and hold on to the gains. There is not much choice left. Even if the flanking move is successful and consolidation takes place, the company cannot remain complacent and has to keep growing to survive. The company will then try to take on the players in some other segments, where the competition is stronger, thereby weakening its existing position. This is because all the available segments are normally well covered. It is not easy to find an uncontested area in today's world. In the process, whatever little share gained, will be lost. Having said that, it is possible to create a new segment by innovation, but a breakthrough will call for enormous resources which are always scarce.
Copyright. February 21, 2008.
Flanking as a strategy in Marketing - To learn more about this author, visit Madhavan T Gopalachary's Website.
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Madhavan T Gopalachary
(Visit Madhavan's Website)
Madhavan Gopalachary, nick name "madgopes"
(g pronounced as in go) given by IIT
classmates, is a Mechanical Engineer and
an alumnus of Indian Institute of
Technology, Madras having passed out
specializing in IC Engines &
Thermodynamics.
He has nearly 35 years of experience in
the Corporate World. He started off as a
trainee and handled sales, marketing,
manufacturing, product management, profit
center management, strategic planning and
corporate development including R & D in
various organizations and at various
levels before becoming a CEO. His last two
professional assignments were at CEO level
before embarking to start management
consultancy business on January 01, 1998.
He has worked for British, Swedish MNCs as
well as very large Indian business houses.
He has spent a large portion of his time
from June 1998 till date in East African
Countries practicing as an independent
Management Consultant.
More details can be obtained at the
following web sites:
mmg.name
/mtg.html;
mmgconsu
lting.biz/
Madhavan's articles can be accessed at www.madgopes.com
.
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