Application of Sun Tzu's Five Factors into Porter's Business Strategy: Implications for International Business

Abstract

Todays business world has turned to be a battlefield. Considering the business world as a battlefield, the Art of War written by a Chinese philosopher named Sun Tzu can be accepted as one of the most important references. Despite numerous studies have been done on the application of Sun Tzus work into business, the current literature have limitations. First, most of existing studies generalized Sun Tzus military principles and discussed how they can be applied into business. Second, the analysis is either missing or overlapping lacking frameworks. In this regard in order to examine Sun Tzus work with comprehensive analytical tools we make a reference to Michael Porter, the guru in business management, who has developed many business frameworks and theories for the past 30 years. The paper applies Sun Tzus Five Constant Factors that best summarize Sun Tzus work, namely the moral law (道), heaven(天), earth (地), commander (将), and method and discipline(法) to Porters business strategy. Similarities and differences between the two would also be identified. The paper concludes with important implications for international business.