War game

War Game

Winning philosophy – for the process to be successful, the parts involved should choose the philosophy when both win. They should work close together, sharing information to create value for both of them. If one company tries to win based on its partner lost, both may end up losing competitiveness and profitability. At the beginning, the focal firm may win some advantages over its supplier, but in the long run, the supplier will break or lose its commitment with the firm and find other partners that they can rely on.
Negotiation tactics – the game showed what is usually the best option for the success of a business relationship. No company can survive on its own. They need to have a good relationship and communication with its partners. The best way to win the game would be by making piece and not attacking the opponent. However this is a very risky situation. You need to have a high level of trust on the person/company you are dealing with. Another way to win, which would be perhaps even more risky, would be by having an agreement of one making a sacrifice to turn all his pieces to doves while the other one keeps all his tanks and attack the opponent. The attacker would be the one with the most points and the biggest winner but he would have to share all the profit with its partner since they had an agreement. This is also a very difficult situation because it is very difficult to trust on someone you still don’t have a very close relationship.
Mitigating risks – to mitigate the risks it is necessary that the managers evaluate alternative scenarios up front. Be aware of the changes and ready to adapt to new realities. The strategies usually change as the time passes, based on trust built and changes of the environment, as what other competitors are doing.
Information sharing – shared information builds trust but also creates vulnerability. It is extremely important for the firm to share information with its suppliers and customers to increase the