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The Advantages and Disadvantages Change with Perspective

There is nothing either good or bad, but thinking makes it so. by Shakespeare in Hamlet

The legend of David and Goliath. From a secular perspective, David is weak and Goliath is strong; David is a novice, while Goliath is an experienced giant warrior. Yet, David defeats Goliath with a sling.

The story of Walmart defeating Kmart. The traditional wisdom in American retail is that a supermarket with a wide variety of products needs to be located in an area with at least 100,000 people. However, Walmart can operate in areas with smaller populations. Why? Because Walmart has more efficient supply chain management, creating an organic network between its stores; whereas Kmart's stores are not as closely connected, leading to higher inventory management costs and less bargaining power in procurement.

During the Cold War arms race, Andy Marshall's strategy against the Soviet Union was to develop comparative advantages by leveraging America's economic and technological strengths. This involved developing technologies that would be costly for the opponent to counter but would not pose a threat to the U.S., such as improving missile accuracy and developing silent submarines. Ultimately, this strategy led to the downfall of the Soviet Union.

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