Scroll Management Complete Book - (Practical Collectible Edition)

Author: Cheng Anzhi
Publisher:
Publish Date: 2006-10-01
Features:
· Giving up is also a form of wisdom
Giving up is the victory of reason, and it is the choice of the wise. Strategic choice is a crucial issue for enterprises. If a company lacks proper strategic choices, it will face dire consequences. Strategic choice differs from tactical decision-making; it requires the support of long-term strategic wisdom. Strategic "giving up" is just as important as strategic choice—it is the key to this strategic wisdom. Without strategic giving up, there can be no strategic choice.
As is well known, resource scarcity is the fundamental reality of human society. The dual contradiction between resource scarcity and the boundless desires of human society gives rise to opportunities, choices, and giving up. The process of choosing is also a process of giving up. Modern society seems to paint for us a series of prosperous and flourishing wealth landscapes, while one after another of these poetic and miraculous success stories make us emotionally charged, lost in passion and confusion. Thus, in the face of numerous fatal temptations, we forget the general economic principles, forget rational analysis and choice, and forget giving up. Instead, we let the wild horses of possession and desire roam freely in the business world, which is full of traps.
There are many psychological attachments that prevent people from giving up, such as geographical attachments, social and family attachments, and political attachments. All of these attachments are emotional rather than rational, yet they are presented under the guise of leadership art and openly influence the judgment and choices of entrepreneurs in the process of strategic decision-making.
However, "giving up" is a form of strategic wisdom. Giving up is a rational value judgment for the enterprise. Any strategic decision or choice made by the enterprise must be based on its fundamental value judgments. Specifically, whether the enterprise's resources are unified with the market or with technology, whether it aims to be a leader or a follower in the industry, whether it pursues mass customization or differentiation, whether it focuses on cost leadership or technological leadership, and whether it chooses to deepen its presence in a region or pursue full-scale expansion—all of these are fundamental value judgments that the enterprise must make after scientifically analyzing its own resources and capabilities. These value judgments are the foundation for strategic decision-making, and on this foundation, the enterprise must learn to give up—"do what is necessary and avoid what is not."
The enterprise should select those options that align with its fundamental value orientation according to the principles and procedures of decision-making, while decisively giving up those "forbidden fruits" that are full of temptation but deviate from its value orientation.
Giving up is a strategy for consolidating the enterprise's capabilities. Limited resources determine limited enterprise capabilities. "Gold has no impurities, and people are not perfect." Just like individuals, enterprises are not all-powerful. The enterprise's human, material, and financial resources, as well as its product, marketing, brand, information, and knowledge capabilities, must also have their strengths and weaknesses. Therefore, the enterprise's choices should also adhere to the "three" principle:
1. the rational allocation of enterprise resources,
2. enhancing the core competitiveness of the enterprise,
3. the sustainable development of the enterprise.
Anything that violates any of these principles should be abandoned resolutely.
Giving up is a wise strategic choice for the enterprise. Giving up is a test and refinement of the courage and insight of the entrepreneur. Faced with numerous dilemmas in strategic choice, choosing to give up requires greater courage and insight, as well as extraordinary perseverance.