When scary weather conditions converge to create particularly scary consequences for the entire East Coast, individual responses vary from evacuation, sandbagging and boarding up windows and doors, stocking up on food, water and ice cream to the other extreme of nonchalance, assuming that one’s efforts won’t make any difference and carrying on as usual.
In the fickle world of business, competitors are directly and indirectly threatening or planning to threaten the well-being of your business and you may or may not be paying attention.
The survival of your business – unless you intend to rely on luck – depends upon your efforts to keep a sharp eye out for cues in the market you serve and on competitive moves to unseat you.
In other words, it’s smart to become an expert at CYPHER SECURITY.
Study the Market
The motivations and preferences of your customers are changing rapidly so it’s very important to collect information from your current customers and from the broader market as well.
Study your Competitors
Your competitors are launching new efforts. Some will succeed and some will fail but you want to be aware of what they are doing as your future may depend upon it.
Be aware of Judgment Errors
A Type 1 error is when something is true but you believe it is false. For example, one of your competitors launches a low price alternative to your most important service but you don’t realize that the market is hungry for it and don’t come up with your own low price solution to match it. Whack!
A Type 2 Error is when something is false but you incorrectly decide that it is true. For example, your sales team is ineffective but you think your problem is that your product is inferior when it’s not. Whack!
Best Decisions require both Quality Information & Smart Thinking
You need to collect the right information and also need to “cypher” it correctly in order to move forward on the right path. In my consulting work, I’ve found that the vast majority of companies do a poor job of evaluating market needs and competitors so it’s no surprise that sub-optimal decisions are made and therefore the vast majority of businesses do not create significant wealth.
Get your Cypher Warriors to Work & Protect YOUR House!