Every business and nonprofit will have multiple competitors. If we outperform them, chances are we will be successful.

In the quest for success, we try to improve our strategy and tactics. We seek ways to improve our systems and processes, productivity and sustainability. Developing effective leadership and placing the right people in the right places will certainly help, too.

Even if you do everything right, you still might not win. There is one variable you cannot control, and that is your competition. They may be playing the same game, but not by the same rules. What if they are willing to cheat to win? Consider these hypothetical cases.

Imagine you own a restoration company. Your biggest competitor starts paying plumbers huge cash bonuses under the table for referrals when there is a water leak in a home. To cover the cost, the competitor must bill the customer more. They also perform restoration services when maybe there is no need. As your competitor gains market share, they expand and begin advertising heavily. Eventually, your phone stops ringing with those referrals. Can you compete with that?

Imagine you are a real estate broker. Federal laws prohibit you from accepting anything of value from any real estate service provider in exchange for referral business. Your competitor finds a loophole in the law. They begin to refer their clients to certain mortgage lenders and title companies. In return, they are given ownership in another company worth hundreds of thousands of dollars each year. Certainly, this gives them a competitive advantage. How would you compete?

Unfortunately, we do not live in a perfect world and your competitors may cheat to win. Resist the temptation. Stay focused on what you can control and accept the results.

Hopefully, those who cheat will be exposed over time.


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Bill Nordbrock is vice president of community relations for SCORE Southern Arizona, a nonprofit that offers free small-business counseling and mentoring by appointment. For information, go to southernarizona.score.org, send an email to mentoring@scoresouthernaz.org or call 505-3636.