Playing to win: Entrepreneurship and the competitive spirit
In business, I have always embraced a competitive spirit. I don’t just play to avoid losing; I play to win. This mindset reflects my philosophy: “Better Than Before, Better Than Others, Better Than Expected.” I first articulated this in my debut book, Contemporary Marketing Strategy in the Philippine Setting (1992).
Fast forward to today, this philosophy continues to guide me, even in book launches. During the launch of our latest book, Entrepreneurship: The Four-Gate Model, our goal wasn’t simply to sell books—it was to break records. And we did just that.
Back in 1997, The Rainmakers: Marketing and Strategy Lessons from 25 CEOs set a new standard for book launch sales in its category. In 2023, Marketing for Beginners: Start Strong, Succeed Fast broke that record and became a bestseller in marketing and business. This time, with Entrepreneurship: The Four-Gate Model, we not only surpassed all previous records by double digits but also set a new milestone in the 82-year history of National Book Store for the largest entrepreneurship and business book launch sales ever. (Please refer to https://josiahgo.com/how-we-broke-national-book-stores-82-year-old-book-launch-record/ for the back story).
But it hasn’t always been this way. When I entered the home water purifier industry in 1985 as a young entrepreneur, resources were scarce, and the challenges immense. Initially, we sold through retail appliance stores. Later, seeing opportunities to pivot, we shifted to direct selling. At the time, the market leader, a multinational company renowned for its “knock-on-the-door, ring-on-the-bell, tap-on-the-window” scheme, quickly saw us as a threat.
Their response was swift and aggressive. They filed seven advertising cases against my company, all of which we won—without a lawyer. I deliberately appeared at hearings alone wearing a T-shirt, a stark contrast to their coat-and-tie full entourage, to amplify the David-versus-Goliath narrative. They also lobbied the Tariff Commission to raise import duties, citing that we were impacting their sales. To me, it became clear — they were using us as a scapegoat for their own underperformance.
This forced me to think critically about competition — not just reacting to it, but outmaneuvering it. While their strength was house-to-house selling, external forces like rising personal safety concerns, the increasing number of women in the workforce, and the growth of gated communities like subdivisions and condominiums were already undermining their business model. These environmental shifts turned their strengths into vulnerabilities.
We knew this because we briefly followed their business model (a classic example of the law of foolish fellowship) before quickly realizing its many weaknesses. Through market research, we uncovered two key insights — confident consumers rarely compare brands before purchasing, and a segment of consumers was open to becoming independent sellers of products they personally used.
Armed with this knowledge, we adapted strategically. While continuing to deliver high-quality, affordable products to end-consumers, we also introduced higher-priced models targeted at a different market segment. For these premium offerings, we established an entirely separate sales force under a new name — Waters Philippines — utilizing a network marketing business model, the first of its kind in the Philippines. Both strategies thrived because we weren’t just selling products; we were redefining and innovating the business model, long before ‘business model’ and ‘innovation’ became buzzwords.
Eventually, we became the market leader, dethroning a multinational company that had dominated the industry for decades. Our approach was fundamentally different — we operated with a single headquarters, employed a network marketing model, conducted several half-day training sessions, and relied on an independent sales force composed mostly of part-timers, with no territorial restrictions within the Philippines.
In contrast, the multinational company maintained some 20 branches and 100 vans, used a house-to-house zoning and nesting system for direct selling, required a week of training, and relied on a full-time sales force assigned to specific territories. By leveraging these differences, we not only disrupted the traditional model but also created a more agile and scalable system that resonated with the evolving needs of both consumers and sellers.
Entrepreneurs as catalysts of change
Entrepreneurs bring ideas to life but must evolve with the times, recognizing opportunities, spotting weaknesses, and embracing trends as potential catalysts for innovation.
These lessons, rooted in preparation, marketing, execution and self-leadership, form the foundation of the Four-Gate Model we share in our book.
Preparation: Laying the foundation for success
Preparation is the starting gate of entrepreneurship, where ideas take shape and are refined into actionable plans. It involves identifying opportunities, assessing risks, and building the necessary skills and resources to execute effectively. Preparation is not just about having a business idea; it’s about validating ideas through research and mentors, understanding market dynamics and crafting a value proposition and business model deliberately.
When I entered the water purifier industry, my preparation involved studying the market leader’s business model, understanding consumer preferences and analyzing environmental trends like the rise of condominiums and safety concerns. Entrepreneurs who invest in preparation don’t just react to the market; they anticipate its shifts and align their plans accordingly.
Marketing: Creating and capturing value
Marketing is about creating value for customers and capturing it in return. This requires an innovation mindset, understanding your target market, positioning your brand, and communicating your value proposition effectively.
In the water purifier business, marketing went beyond advertising; it was largely about channel innovation. By pivoting from retail to direct selling, we discovered untapped potential and gained better control over our relationships with end-users and independent distributors. Eventually, we launched in-house installment sales to stay relevant to the middle-income market.
We also used consumer insights to shape our offerings — asking not just what consumers liked or disliked about our products, but if they’d be willing to sell them. Entrepreneurs who excel in marketing know how to adapt their strategies without losing sight of their core value proposition.
Execution: Turning plans into reality
Execution is where strategy meets action. It’s about making things happen — translating preparation and marketing plans into tangible results. Execution requires understanding value chain, operational excellence, attention to detail and the ability to adapt on the fly.
For instance, when we faced aggressive competition from a multinational market leader, execution meant staying disciplined and focused. While they were busy filing cases and lobbying for higher import duties, we were busy serving customers faster and differently. Execution also meant training, inspiring, and empowering our sales force, ensuring they had the right tools, training, and motivation to deliver results. In entrepreneurship, good ideas are only as strong as their execution.
Self-leadership: The driving force behind it all
Self-leadership is the final and perhaps most crucial gate. It’s the inner strength, discipline, and vision that guide an entrepreneur through challenges and setbacks. Self-leadership involves building resilience — knowing obstacles will come but equipping yourself with the mindset and tools to overcome them, staying committed to your goals and continuously learning and growing.
When faced with complaints in advertising and tariffs, I could have been intimidated, discouraged or distracted, but self-leadership kept me focused. Instead of reacting emotionally, I chose to approach each challenge with a strategic mindset, even leveraging the David-versus-Goliath narrative to our advantage. Self-leadership also requires humility — the willingness to admit mistakes early, seek advice from key stakeholders promptly and pivot when necessary.
The Four-Gate Model in action
When entrepreneurs embrace the Four-Gate Model — preparation, marketing, execution, and self-leadership — they are equipped to navigate the complexities of business with clarity and confidence. Each gate builds on the other, creating a holistic approach to entrepreneurship that is grounded in both strategy and action.
By focusing on these four gates, you don’t just create a business — you build a legacy. Ultimately, entrepreneurship is about playing to win — on your terms, in your own unique way. And when you strive to be better than before, better than others, and better than expected, you don’t just play the game. You change it.
