CHAPTER 7

MILITARY MANOEUVERS (军争 jūn

zhēng)
• Tradeoffs in manoeuvring
• Prerequisites for combat
• Rules in manoeuvring
• Postures and stances in manoeuvring
• Communications and signals in combat
• Principles of control in combat
• Illustrations on the art of military
manoeuvres
Chapters
1. Detailed Assessment and Planning (始计)
2. Waging War (作战)
3. Strategic Attack (谋攻)
4. Disposition of the Army (军行)
5. Forces (兵势)
6. Weaknesses and Strengths (虚实)
7. Military Maneuvers (军争)
8. Variations and Adaptability (九变)
9. Movement and Development of Troops (行军)
10. Terrain (地形)
11. The Nine Battlegrounds (九地)
12. Attacking with Fire (火攻)
13. Intelligence and Espionage (用间)
 Tradeoffs In Manoeuvring
• 7.1 In any military campaign, the general will first
receive his orders from his ruler
• 7.2 He then assembles the troops and mobilises
the citizens (people)
• 7.3 He must harmonise (the interest of) these
diverse groups and build their relationships and
comradeships by encamping them together
• 7.4 However, none of these are more difficult
than military manoeuvres (that are aimed at
gaining victories against the energy).
 Tradeoffs In Manoeuvring
• 7.5 The difficult about the art of manoevring is
to convert difficult and torturous routes into
direct accesses (to the enemy), and to turn
disastrous circumstances into advantageous
situations.

Turn Disadvantage into Advantage

 Tradeoffs In Manoeuvring
The ability to balance these polar extreme
demands will determine whether there are
opportunities or disasters

• 7.10 One who attempts to mobilize a complete and fully equipped army so as to go
after advantages and gains will be late in seizing them.
• 7.11 One who sends a lightly equipped army to go after advantages and gains is
likely to suffer severe losses of stores and supplies (at the base camp).
Business Application
Turn Disadvantage into Advantage -
Federal Express
• Competition began encroaching on FedEx’s
“overnight turf”.
• Tracking program
• “The information about the package is as
valuable as the package itself”.

• Turning a circuitous route into a straight route for you alone.

• Move Rapidly.
• The longer you are en route, the more difficult it may be to get your
resources to the market before your competitor.
 Prerequisites For Combat
• 7.24 Thus, if the schemes and ploys of the
neighboring warlords are not known, one should
not be keen to enter into any alliances with
them.
• 7.25 Those who do not know the conditions of
the forested mountains, the dangerous terrain of
mountain paths, and the treacherous nature of
swamps and marshes will not be able to conduct
the movement of troops.
• 7.26 Those who do not use local guides will not
be able to gain the advantages of the terrain.
Business Application
 Free Speech Restriction
• Google, Yahoo!, Microsoft
• Competitors in United States.
• Protection from criticisms – joint action
• “Common actions by these diverse groups is
more likely to bring about change in
government policy than the efforts of any one
company or group acting alone.”
• Greater PR protection in core countries.
 Rules In Manoeuvring
• 7.27 Thus, war is based on applying
deception to be successful.
• 7.28 Move when there are advantages to be
gained.
• 7.29 Create changes in situations through the
dispersion and concentration of forces.
Postures And Stances In Manoeuvring
• 7.30 Thus, when in movement, be as swift and invisible as
the wind.
• 7.31 When in slow marches, be as majestic as the forest.
• 7.32 When raiding and plundering, be as ferocious as the
fire.
• 7.33 When not in movement (as in encamping), be as
steady as the mountains.
• 7.34 When in concealment (of forces and positions), be as
inscrutable as the darkness of night.
• 7.35 When attacking and assaulting, be as overwhelming
and merciless as the roar of thunder and the strike of
lightning.
Business Application
 Deceive Your Competitor
Case 1:
• Competitor agreed to maintain high prices on a
new product both were introducing.
• After few months, the competitor cut prices in
violation of the agreement, causing a loss of
business.
Case 2:
• Companies raise prices to temporarily grow
profitability and sell the business for higher price.
Case 3: Colluding to Maximize Profits
• These oligopoly firms may benefit from
colluding.
• They attempt to behave like a monopoly.
• They agree to restrict output to a level that
makes marginal revenue and marginal cost
equal.
 Colluding to Make Monopoly Profits
Individual Firm Industry

unit)
Price and cost (thous. of $/
unit)
Price and cost (thous. of $/

10 MC ATC 10
9 9
MC1
8 Collusion achieves
Economic monopoly
Profit outcome
6 6

MR
0 1 2 3 4 5 0 1 2 3 4 5 6 7
Quantity (thous. of Quantity (thous. of
switchgears/week) switchgears/week)
 One Firm Cheats on a
Collusive Agreement
Previous example:
– Each firm produced 2,000 units and earned $2 million in
economic profit.

Now, Trick convinces Gear that it cannot sell 2,000

units a week and must cut its price to be able to do
so.
– Gear cuts its price, but it does not change output.
– Trick lies and cheats on their agreement — it
increases output (output increases, ATC decreases).
 One Firm Cheats

Complier Cheate Industry

r
ATC ATC
10.0 10.0 10.0

Price & cost

8.0 8.0
Price &

Price &

7.5 7.5 7.5

cost

cost

6.0
Economic Complier’s Cheat’s D
loss Economic
output output
profit

0 1 2 3 4 5 0 1 2 3 4 5 0 1 2 3 4 5 6 7
Quantity Quantity (thousands Quantity (thousands
(thousands of of
of switchgears/week) switchgears/week)
switchgears/week)
Organization of the Petroleum Exporting Countries
 Communications And Signals In
Combat
• 7.41 According to the Book on Military
Administration, “In battles, as verbal
communication cannot be heard clearly,
cymbals and drums are used as commands.
• 7.42 As visual communication and eye
contact are hampered, banners and flags are
used as signals.
 Communications And Signals In
Combat
• 7.43 Now the purpose of using cymbals, drums, flags and
banners is to draw the attention of the troops and focus
them for combat under the direction of the commander.
• 7.49 These different means of communication (cymbals,
drums, flags and banners) are designed to influence the
senses and judgement of the enemy.
• 7.50 Thus, they (the lighted torches and beating drums at
night and the innumerable flags and banners during the
day) serve to destroy the morale of the army (of the
enemy).
• 7.51 With regard to the generals of the enemy, they (the
lighted torches and beating drums at night and the
innumerable flags and banners during the day) serve to rob
them of their decisiveness.
Business Application
 Communication in Business
• Individuals spend nearly 70% of their waking
hours communicating (writing, reading,
speaking, listening).
• Social Intranet software, webinar, instant
messaging, internal videos and blogs,
discussion forums.
 Principles Of Control In Combat
MORALE FACTOR
• 7.52 At the beginning of a military campaign, the spirits of
the forces are high.
• 7.53 As the campaign progresses, the spirits of the forces
become sluggish and lethargy creeps in.
• 7.54 Towards the tail-end of the campaign, thoughts of
returning home (base camp) will set in.
• 7.55 Therefore the person adept in warfare avoids
engaging the forces of the enemy when their spirits are
high.
• 7.56 He only attacks them when their spirits are sluggish
and the soldiers homesick.
• 7.57 This is control of the morale factor.
 Principles Of Control In Combat
PSYCHOLOGICAL FACTOR
• 7.58 Use orderliness and stability to confront
chaos and disorder.
• 7.59 Use calmness and steadfastness to deal
with noisiness and clamour.
• 7.60 This is control of the psychological
factor.
 Principles Of Control In Combat
PHYSICAL FACTOR
• 7.61 Use proximity (of troops) to the battlefield
to counter enemies that come from afar.
• 7.62 Use well-rested troops to counter tired and
exhausted enemies.
• 7.63 Use well-fed and nourished troops against
enemies who are short of food and rations.
• 7.64 This is control of the physical factor.
 Principles Of Control In Combat
CHANGE FACTOR
• 7.65 Never engage an approaching enemy
who displays orderly flags and banners.
• 7.66 Never attack an advancing enemy who
shows an impressive and well-organized
formation.
• 7.67 This is control of the change factor.
Business Application
 Principle Of Control In Business
1. Morale
Company culture, leadership
2. Psychological
Job commitment, engagement, satisfaction
3. Physical factor
Building, infrastructure, facilities
4. Change (and uncertainty)
Crisis control
 Illustrations On The Art Of Military
Manoeuvres
• 7.69 Do not advance against an enemy who is encamped on high
grounds.
• 7.70 Do not engage an enemy who is assaulting downwards from
high ridges.
• 7.71 Do not pursue an enemy who pretends to retreat in
desperation.
• 7.72 Do not attack the agile and highly motivated elite force of
the enemy.
• 7.73 Do not fall for bait offered by the enemy.
• 7.74 Do not intercept an enemy who is returning to his home
country.
• 7.75 In surrounding an enemy, always leave him an escape route.
• 7.76 Do not pursue a desperate enemy too relentlessly.
THE GENERAL WHO WINS IS THE ONE WHO KNOWS
WHEN TO ENGAGE IN BATTLES, AND WHEN NOT TO
DO SO.

THANK YOU