Do we focus enough on competition?

I remember reading about Daley Thompson, one of the most successful decathletes in history.  He was known for his intense focus on his rivals and his determination to beat them at all costs. He would analyse their strengths and weaknesses, study their techniques and strategies, and even go to the extent of monitoring their training schedules and performance levels.  He was particularly obsessed with his main competitor of the time, German Jürgen Hingsen where they traded world records ensuring he was doing more training every day including on Christmas day.

He famously said, “My only goal is to be better than whoever thinks they’re the best.”

The simplest description for strategy that I like is  “Where are we going to play and how are we going to win?”  - put simply to win in business means more customers are choosing you over the competition. 

Can we apply Daley Thompsons approach to winning in business?

I think so - I was in a meeting a few weeks ago with a founder who smiled whilst saying they were going to “destroy” an incumbent competitor.  I do think obsessing with competition in business and sport drives success – but does everyone do it enough?

I fear not!  As an investor I often see slide decks and board packs that do not even mention competitors yet surely it should be a key component of forming the answer of how we are going to win.

I believe every business opponent is also a lesson - If they are better, they reveal your blind spots and allow times of reflection for areas to improve.  If they are weaker, they sharpen your edge through dominance. I recently heard Chamath on the All in Podcast say when he was at Facebook he was responsible for all global markets outside of the US and they created a framework to ensure they dominated every market.

The goal may not always be to destroy the competition but to let their presence pull out your best. Successful businesses such as Nike needed Adidas, Google needed Yahoo and Virgin needed British Airways as they built their respective market positions.

In summary, I think as in sport, success in business often emerges not just from internal drive, but from a relentless, sometimes obsessive focus on competition. 

I do think leaders should track competition obsessively to ensure that they adapt and learn for their product or service.  Market data and leaderboards should be discussed at board meetings and plans developed for how to win.

Which competitor are you obsessed with beating?

Look forward to hearing your thoughts.