A Corporate Playbook Inspired by The Art of War

An ancient Chinese military treatise written over two millennia ago might seem an unlikely guide for navigating today’s fast-paced, modern economy.

Yet, the strategic wisdom of Sun Tzu’s “The Art of War” continues to resonate in corporate boardrooms, offering timeless principles that are remarkably relevant to the high-stakes world of business negotiation.

The Battle Won in the Planning Room

One of Sun Tzu’s most vital lessons is that victory is secured before the battle begins, through meticulous preparation and a deep understanding of both oneself and the opponent. This principle forms the unseen foundation of the world’s most significant corporate manoeuvres.

The landmark deals that reshape industries are not the result of spontaneous brilliance at the negotiating table, but the culmination of months, or even years, of careful intelligence gathering, strategic planning, and internal assessment.

Building a Golden Bridge to Unity

Sun Tzu taught that the supreme art is to win without fighting. This philosophy is perfectly mirrored in the creation of Seatrium, born from the complex merger of industry giants Keppel Offshore & Marine and Sembcorp Marine.

Faced with a challenging global market, a head-to-head battle for survival would have been mutually destructive. Instead, both parties engaged in years of intense negotiations to forge a stronger, unified entity.

The successful outcome, where a deal was agreed upon based on a 50:50 enterprise value, was a masterclass in building a “golden bridge” for all stakeholders. The victory was not one company conquering the other, but the strategic creation of a global energy and solutions leader, ensuring the survival and future competitiveness of both legacy firms.

Turning a Fierce Rival into an Ally

The strategic management of information and positioning is key in “The Art of War.” Grab’s landmark acquisition of Uber’s Southeast Asia operations showcases this principle in action.

The negotiation was far more sophisticated than a simple buyout; it was a strategic masterstroke that reshaped an entire regional competitive landscape.

The deal’s structure, which resulted in Uber acquiring a 27.5% stake in Grab, was the pivotal element. Through this negotiation, Grab turned its fiercest rival into its single largest shareholder, giving Uber a powerful incentive to ensure Grab’s future success. This move effectively ended a costly subsidies war and consolidated Grab’s regional dominance.

A Decisive Strike in a Crowded Market

Sun Tzu’s wisdom to seize opportunity in the midst of chaos is highly relevant in the fast-moving technology sector. In a fragmented and highly competitive online marketplace, Carousell executed a decisive strategic move by merging with 701Search, the classifieds group owned by Telenor. This was a bold play to consolidate market power and achieve critical mass.

The negotiation resulted in a complex cash-and-equity deal that valued the new combined entity at over a billion dollars, fundamentally altering the market structure. By acting decisively, Carousell did not just grow its business; it reshaped the terrain and cemented its position as a dominant regional player.

These landmark corporate exercises are more than just financial transactions; they are modern epics of negotiation. From the strategic union that created Seatrium to the market-defining moves of Grab and Carousell, they prove that the ancient principles of deep preparation, strategic positioning, and seizing opportunity are not relics of the past. They remain the core of how today’s leading companies win on the world stage.

Disclaimer

The information contained herein is provided for general informational purposes only. While every reasonable effort has been made to ensure the accuracy of the information, inadvertent errors or omissions may occur. No representations or warranties, express or implied, are made regarding the accuracy, completeness, or suitability of the information provided. The authors expressly disclaim any and all liability arising from, or in connection with, any errors or omissions. Recipients are advised to seek independent legal counsel for advice pertaining to their individual circumstances.