Mental Models: Competition

WHEN SHARING THE SAME ENVIRONMENT, WE’LL STRIVE TO ATTAIN THINGS THAT CANNOT BE SHARED.

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How might this apply to great teams and cultures?

Why do successful organizations often move in new directions and then fail? Organizations that have survived a history of competition adapt to their environment. But adapting for one context makes moving into new contexts more difficult. Managers who've experienced success with competition develop a biased assessment of their organization's dynamic capabilities.

How might this apply to great products?

How might people compete for attention and/or resources within your system? While easily abused, competition remains a great mechanism to provide incentives for self-improvement. Depending on your objectives, competition can be among individuals or among groups. If used among individuals, be careful about recognizing one person at the expense of the group.

Consider

Creating the right company culture is critical when building a company that your employees, customers and shareholders love. How does your group and your company interpret competition uniquely?

See Also

Status, Reputation, Ownership Bias, Loss Aversion, Feedback Loops, Shaping, Social Proof

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In the whirl of our day-to-day interactions, it’s all too easy to forget the nuances that distinguish great teams, great cultures, and great products/services.

Mental Model Flash Cards bring together insights from psychology into an easy reference and brainstorming tool. Each card describes one insight into human behavior and suggests ways to apply this to your teams as well as the design of your products and services.