Sunday, June 10, 2012

Zugzwang - Wikipedia, the free encyclopedia

Zugzwang - Wikipedia, the free encyclopedia:

Zugzwang (German for "compulsion to move", pronounced [ˈtsuːktsvaŋ]) is a term usually used in chess which also applies to various other games. The term finds its formal definition in combinatorial game theory, and it describes a situation where one player is put at a disadvantage because he has to make a move when he would prefer to pass and make no move. The fact that the player must make a move means that his position will be significantly weaker than the hypothetical one in which it was his opponent's turn to move.

In business, usually it's better that customers bring sales to you rather than you selling to customers.  This works with referral web sites (Facebook, LinkedIn), where friends and colleagues refer each other and encourage a larger subscriber base.  It works with pyramid/MLM schemes (Amway), where the more paying recruits you have, the better the kings and queens at the top of the pyramid fare.  It works with retail, where the best possibility of a sale is when someone is actually on your web site or in your store, versus when you're forced to pay to publish a newspaper ad or commercial to drive traffic and possible sales.

Referrals (letting the other person move) are the best sales to get. Instead of a 75-1 cold call to sale ratio, it could be a 4-1 referral to sale ratio.

So instead of being forced to move, ask the other person to move first.

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