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SUN TZU
                   &
HIS CONTRIBUTIONS TO ENTREPRENEURSHIP



                         MA. ELSIE M. DIMAANO,MD
                                  AGSB MBAH 10 B
WHO WAS SUN TZU

• born in 544BC in Qi of ancient China

• Family was a member of the Shi class, an ancient class of
  aristocrats

• a Chinese military general, strategist and philosopher serving
  under King Helü of Wu

• believed to be the author of The Art of War, an influential
  ancient Chinese book on military strategy and the
  foundation of strategy for the military and business
KING OF WU’S TEST
•   train 180 concubines into soldiers

•   ordered the execution of the king's two favored concubines, to the king's
    protests after they giggled and did not follow Sun Tzu’s command when
    the latter reiterated the command for the 2nd time

•   He explained that if the general's soldiers understood their commands
    but did not obey, it was the fault of the officers

•   Sun Tzu also said that, once a general was appointed, it was his duty to
    carry out his mission, even if the king protested

•   aware of the costs of further frivolity, performed their maneuvers
    flawlessly
THE ART OF WAR
       • one of the most widely read
         military treatises written during
         the so-called Warring States of
         ancient China

       • presents a philosophy for
         managing conflicts and winning
         battles

       • interpreted in the context of 
         Taoist thought and practice
HOW POWERFUL IS THE BOOK
      THE ART OF WAR




     Qin Shi Huang
(emperor of a unified China)   General  Vo Nguyen Giap
HOW POWERFUL IS THE BOOK
     THE ART OF WAR
THE 13 CHAPTERS OF THE ART OF WAR
     CHAPTER               Lionel Giles (1910)
        I      Laying Plans
        II     Waging War
       III     Attack by Stratagem
       IV      Tactical Dispositions
        V      Energy
       VI      Weak Points and Strong
       VII     Maneuvering
       VIII    Variation of Tactics
       IX      The Army on the March
        X      Terrain
       XI      The Nine Situations
       XII     The Attack by Fire
       XIII    The Use of Spies
PARALLELISM

              WAR                   ENTREPRENEURSHIP
•   dynamic, fast-paced, and    •   dynamic, fast-paced, and
    requires an effective and       requires an effective and
    efficient use of scarce         efficient use of scarce
    resources                       resources
SUN TZU                                        (Ch 1)           ENTREP
      General = Commander                           P               Leadership
                                                    A
LEADER                                                                                         LEADER
                                                    R
          Heaven = Season =
              Weather
                                                    A         Outside Forces/ Variables:
                                                              Market, Fashion, Economy
                                                    L
EXTERNAL                                                                   EXTERNAL
FORCES
    Ground     = Earth = Terrain in
                                                    L                      FORCES
                                                              Constants: geography,
           the scene of action                      E               roads, etc
                          CURRENT                   L            SITUATION

       Moral Law = WAY
                                                    I              Mission, Goal
      Believing what you are doing is right &
                 worth fighting for                 S
INTERNAL                                            M                      INTERNAL
FORCES = Doctrine
     Law             = Method                                              FORCES
                                                                Organization, Control, Work
                                                              ethic, Time management       (Culture,
        & Discipline Guiding                                          Policies, Methods)
             Principle
                                                WITHIN YOUR
KEY CONCEPTS
Fundamental Factors Governing War



                                         The Leader


                                        The External Forces



                                       The Internal Forces




    Always look to advance your position
    o Only go to battle when you will win.
LESSONS
 FROM
SUN TZU
LEADERSHIP
TRAITS OF A LEADER


CHAPTER 1

•   Knowledge /Wisdom
•   Sincerity
•   Benevolence (Ch 10)
•   Strictness / Discipline (Ch
    9)
• Courage: must be able to
  face dangers
TRAITS OF A LEADER

• Right character

• Work to make nation
  stronger and put its needs
  before his own


                         •Make the right decision
                               Weigh situation
                               Know current sate
COMPETENCIES OF A LEADER

            • Know when to fight and
              when not to
                Strike only when situations
                 assure victory



            • When he sees opportunity,
              acts swiftly and decisively
COMPETENCIES OF A LEADER

• Lead by example

• Motivate troops / men

• Share soldier’s / employees
  trials

• Provide clear directions
SUN TZU DANGEROUS                                       ENTREP
FAULTS OF THE GENERAL (Ch 8)
        Recklessness                             Recklessness (lack of
          leading to                              thought & empathy)
         destruction
                                         P
       Cowardice leads to                A   Cowardice = “analysis from
           capture
                                         R   desk” ( hypothesis; assumptions)

                                         A
                                         L      Hasty Temper (rejection of
       Hasty Temper
        (provoked by insults)            L    critique which exposes chinks in the
                                                             armor )

                                         E
                                         L
     Delicacy of honor                       Delicacy of honor
   (sensitive to shame)                  I                                (afraid to
                                                    ask because of shyness or

                                         S
                                                         em barrassment



                                         M
    Over solitude             for his
                                                 Over-solitude         (too much
                                             attention to detail; analysis paralysis)
   mean exposes him to worry & trouble
IN BATTLE
     &
IN BUSINESS
WINNING WHOLE (Ch 3)
•   Philosophy of winning without
    fighting

•   Succeed with your resources and
    your objective intact
     – winning with the least damage
       and swiftest resolution; did not
       advocate sacrificing lives or
       exhausting treasury

     – Capture your market! in such a
       way that your market is not
       destroyed in the process
         market that are underserved
         avoid a price war: leaves the
           market drained of profits
AVOID STRENGTHS & ATTACK
              WEAKNESSES
• How to find the best path to   An army may be likened to
                                 water. Just as water
  the goal                       avoids heights and always
                                 flows downhill, an army
                                 will always avoid the
                                 enemy’s strengths and
• Focus on the competition’s     attack him where he is
                                 weak. And like water
  weaknesses / vulnerabilities   whose flow is adapted to
                                 the nature and form of the
  which maximize our gains       ground, an army will have
  while minimizing the use of    to adapt to the nature and
                                 situation of the enemy.
  resources hence increasing     And just as water has no
                                 immutable form, in battle
  profit                         there are no immutable
                                 conditions. He who
                                 achieves victory by
                                 adapting his tactics to the
                                 situation of the enemy can
                                 be divine.
                                          Sun Tzu (Ch 7)
INDIRECT METHODS OF FIGHTING TO SECURE VICTORY


    Indirect tactics,         We cannot enter into alliances
    efficiently applied,…     until we are acquainted with
    unending as the flow of   the designs of our neighbors
    rivers and streams…
                              Sun Tzu (Ch 7)
    There are not more
    than five musical
    notes, yet the
    combinations of these
    five give rise to more
    melodies than can ever
    be heard



                   Sun Tzu      By building strong alliances,
    (Ch 5)                      moves of competitors can be
                                           limited
SHAPING THE ENEMY
             SUN TZU                          ENTREPRENEURSHIP
•   Whoever is first in the field and     •   This refers to taking control of
    awaits the coming of the enemy,           the situation or market place /
    will be fresh for the fight;              PTM and the ability to change
    whoever is second in the field and        the rules of the contest and
    has to hasten to battle will arrive       making the opponents conform
    exhausted.                                to your desires and actions

•   Therefore the clever combatant
    imposes his will on the enemy, but     By controlling strategic points in
    does not allow the enemy's will to      the industry, you will be able to
    be imposed on him …                     call the tune to which your
                                            competitors dance (Jose Lontoc)
•   Hold the enemy’s fate in your
    hands (Chap 6)
TREATMENT OF THE ENEMY
(Ch 2)
• Captured soldiers should be
   kindly treated and kept
• Use conquered foe to augment
   one’s own strength

(Ch 11)
• For the men of Wu and the men
   of Yueh are enemies; yet if they
   are crossing a river in the same
   boat and are caught by a storm,
   they will come to each other's
   assistance just as the left hand
   helps the right
THE INTERNAL
   FORCES
FOREKNOWLEDGE (Ch 13)
• deep understanding of the
  enemy, his capabilities and
  environment (Ch 3, 9)

• sound information

• proactive elicitation

• Spies (Ch 13)

• Develop a network that can
  provide information and
  establish a method of
  processing information
BENCHMARKING (Ch 6)             FLEXIBILITY (Ch 6)

• Carefully compare the     • Do not repeat the tactics
  opposing army with your     which have gained you
  own, so that you may        one victory, but let your
  know where strength is      methods be regulated by
  superabundant and           the infinite variety of
  where it is deficient.      circumstances

                            • the soldier works out his
                              victory in relation to the
                              foe whom he is facing
DECEPTION
Sun Tzu & His Contributions to Entrepreneurship
APPLICATIONS TO OTHER FIELDS
APPLICATIONS TO OTHER FIELDS
IN A NUTSHELL
  Sun Tzu gave us timeless , relevant, and
     simplified principles of STRATEGIC
    THINKING which can be applied in the
   various facets of our lives. Whether it is
business or our personal life, we have to think
  strategically and tactically as we plan and
              maneuver forward.
Sun Tzu & His Contributions to Entrepreneurship
REFERENCES
•   http://www.sonshi.com/why_nj.html
•   http://en.wikipedia.org/wiki/Sun_Tzu
•   http://en.wikipedia.org/wiki/The_Art_of_War
•   http://www.artofwarsuntzu.com
• http://www.fightingarts.com/reading/article.php?id=500
• http://history.cultural-china.com/en/37H8481H13122.html
• http://www.learntheartofwar.com/
• http://www.joenewbert.com
• Images from the net

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Sun Tzu & His Contributions to Entrepreneurship

  • 1. SUN TZU & HIS CONTRIBUTIONS TO ENTREPRENEURSHIP MA. ELSIE M. DIMAANO,MD AGSB MBAH 10 B
  • 2. WHO WAS SUN TZU • born in 544BC in Qi of ancient China • Family was a member of the Shi class, an ancient class of aristocrats • a Chinese military general, strategist and philosopher serving under King Helü of Wu • believed to be the author of The Art of War, an influential ancient Chinese book on military strategy and the foundation of strategy for the military and business
  • 3. KING OF WU’S TEST • train 180 concubines into soldiers • ordered the execution of the king's two favored concubines, to the king's protests after they giggled and did not follow Sun Tzu’s command when the latter reiterated the command for the 2nd time • He explained that if the general's soldiers understood their commands but did not obey, it was the fault of the officers • Sun Tzu also said that, once a general was appointed, it was his duty to carry out his mission, even if the king protested • aware of the costs of further frivolity, performed their maneuvers flawlessly
  • 4. THE ART OF WAR • one of the most widely read military treatises written during the so-called Warring States of ancient China • presents a philosophy for managing conflicts and winning battles • interpreted in the context of  Taoist thought and practice
  • 5. HOW POWERFUL IS THE BOOK THE ART OF WAR Qin Shi Huang (emperor of a unified China) General  Vo Nguyen Giap
  • 6. HOW POWERFUL IS THE BOOK THE ART OF WAR
  • 7. THE 13 CHAPTERS OF THE ART OF WAR CHAPTER Lionel Giles (1910) I Laying Plans II Waging War III Attack by Stratagem IV Tactical Dispositions V Energy VI Weak Points and Strong VII Maneuvering VIII Variation of Tactics IX The Army on the March X Terrain XI The Nine Situations XII The Attack by Fire XIII The Use of Spies
  • 8. PARALLELISM WAR ENTREPRENEURSHIP • dynamic, fast-paced, and • dynamic, fast-paced, and requires an effective and requires an effective and efficient use of scarce efficient use of scarce resources resources
  • 9. SUN TZU (Ch 1) ENTREP General = Commander P Leadership A LEADER LEADER R Heaven = Season = Weather A Outside Forces/ Variables: Market, Fashion, Economy L EXTERNAL EXTERNAL FORCES Ground = Earth = Terrain in L FORCES Constants: geography, the scene of action E roads, etc CURRENT L SITUATION Moral Law = WAY I Mission, Goal Believing what you are doing is right & worth fighting for S INTERNAL M INTERNAL FORCES = Doctrine Law = Method FORCES Organization, Control, Work ethic, Time management (Culture, & Discipline Guiding Policies, Methods) Principle WITHIN YOUR
  • 10. KEY CONCEPTS Fundamental Factors Governing War The Leader The External Forces The Internal Forces Always look to advance your position o Only go to battle when you will win.
  • 13. TRAITS OF A LEADER CHAPTER 1 • Knowledge /Wisdom • Sincerity • Benevolence (Ch 10) • Strictness / Discipline (Ch 9) • Courage: must be able to face dangers
  • 14. TRAITS OF A LEADER • Right character • Work to make nation stronger and put its needs before his own •Make the right decision Weigh situation Know current sate
  • 15. COMPETENCIES OF A LEADER • Know when to fight and when not to  Strike only when situations assure victory • When he sees opportunity, acts swiftly and decisively
  • 16. COMPETENCIES OF A LEADER • Lead by example • Motivate troops / men • Share soldier’s / employees trials • Provide clear directions
  • 17. SUN TZU DANGEROUS ENTREP FAULTS OF THE GENERAL (Ch 8) Recklessness Recklessness (lack of leading to thought & empathy) destruction P Cowardice leads to A Cowardice = “analysis from capture R desk” ( hypothesis; assumptions) A L Hasty Temper (rejection of Hasty Temper (provoked by insults) L critique which exposes chinks in the armor ) E L Delicacy of honor Delicacy of honor (sensitive to shame) I (afraid to ask because of shyness or S em barrassment M Over solitude for his Over-solitude (too much attention to detail; analysis paralysis) mean exposes him to worry & trouble
  • 18. IN BATTLE & IN BUSINESS
  • 19. WINNING WHOLE (Ch 3) • Philosophy of winning without fighting • Succeed with your resources and your objective intact – winning with the least damage and swiftest resolution; did not advocate sacrificing lives or exhausting treasury – Capture your market! in such a way that your market is not destroyed in the process  market that are underserved  avoid a price war: leaves the market drained of profits
  • 20. AVOID STRENGTHS & ATTACK WEAKNESSES • How to find the best path to An army may be likened to water. Just as water the goal avoids heights and always flows downhill, an army will always avoid the enemy’s strengths and • Focus on the competition’s attack him where he is weak. And like water weaknesses / vulnerabilities whose flow is adapted to the nature and form of the which maximize our gains ground, an army will have while minimizing the use of to adapt to the nature and situation of the enemy. resources hence increasing And just as water has no immutable form, in battle profit there are no immutable conditions. He who achieves victory by adapting his tactics to the situation of the enemy can be divine. Sun Tzu (Ch 7)
  • 21. INDIRECT METHODS OF FIGHTING TO SECURE VICTORY Indirect tactics, We cannot enter into alliances efficiently applied,… until we are acquainted with unending as the flow of the designs of our neighbors rivers and streams… Sun Tzu (Ch 7) There are not more than five musical notes, yet the combinations of these five give rise to more melodies than can ever be heard Sun Tzu By building strong alliances, (Ch 5) moves of competitors can be limited
  • 22. SHAPING THE ENEMY SUN TZU ENTREPRENEURSHIP • Whoever is first in the field and • This refers to taking control of awaits the coming of the enemy, the situation or market place / will be fresh for the fight; PTM and the ability to change whoever is second in the field and the rules of the contest and has to hasten to battle will arrive making the opponents conform exhausted.  to your desires and actions • Therefore the clever combatant imposes his will on the enemy, but  By controlling strategic points in does not allow the enemy's will to the industry, you will be able to be imposed on him … call the tune to which your competitors dance (Jose Lontoc) • Hold the enemy’s fate in your hands (Chap 6)
  • 23. TREATMENT OF THE ENEMY (Ch 2) • Captured soldiers should be kindly treated and kept • Use conquered foe to augment one’s own strength (Ch 11) • For the men of Wu and the men of Yueh are enemies; yet if they are crossing a river in the same boat and are caught by a storm, they will come to each other's assistance just as the left hand helps the right
  • 24. THE INTERNAL FORCES
  • 25. FOREKNOWLEDGE (Ch 13) • deep understanding of the enemy, his capabilities and environment (Ch 3, 9) • sound information • proactive elicitation • Spies (Ch 13) • Develop a network that can provide information and establish a method of processing information
  • 26. BENCHMARKING (Ch 6) FLEXIBILITY (Ch 6) • Carefully compare the • Do not repeat the tactics opposing army with your which have gained you own, so that you may one victory, but let your know where strength is methods be regulated by superabundant and the infinite variety of where it is deficient. circumstances • the soldier works out his victory in relation to the foe whom he is facing
  • 31. IN A NUTSHELL Sun Tzu gave us timeless , relevant, and simplified principles of STRATEGIC THINKING which can be applied in the various facets of our lives. Whether it is business or our personal life, we have to think strategically and tactically as we plan and maneuver forward.
  • 33. REFERENCES • http://www.sonshi.com/why_nj.html • http://en.wikipedia.org/wiki/Sun_Tzu • http://en.wikipedia.org/wiki/The_Art_of_War • http://www.artofwarsuntzu.com • http://www.fightingarts.com/reading/article.php?id=500 • http://history.cultural-china.com/en/37H8481H13122.html • http://www.learntheartofwar.com/ • http://www.joenewbert.com • Images from the net