Page 63 - NITI - Navigating Indian Traditions in Industry

Initially starting as an online bookstore, Amazon strategically expanded into a wide
range of products and services, from cloud computing (AWS) to smart devices (Alexa).
Its bold decisions, like the early investment in cloud computing, helped Amazon
become a dominant player, demonstrating the importance of risk-taking and strategic
execution.

3.5 Application of Nyaya in Modern Business:
The Nyaya school of Indian philosophy, renowned for its rigorous emphasis on logic,
reasoning, and systematic inquiry, serves as a cornerstone of the Indian knowledge
system. Rooted in the pursuit of truth and clarity, Nyaya offers a structured framework
for acquiring knowledge, addressing challenges, and fostering intellectual precision.
Its principles transcend philosophical discourse, offering profound insights into
effective decision-making, problem-solving, and communication—foundational
elements of strategic wisdom. By integrating Nyaya’s methodologies, modern
organizations can enhance their analytical rigor, cultivate ethical practices, and
adapt to dynamic environments. This synergy of ancient reasoning and contemporary
strategy underscores the enduring relevance of Nyaya as a guide for sustainable
growth and informed leadership in today’s complex business landscape.

1. Evidence-Based Decision-Making
One of the foundational principles of Nyaya philosophy is the reliance on reliable
sources of knowledge, known as pramanas, which include perception (pratyaksha),
inference (anumana), analogy (upamana), and verbal testimony (shabda). These
tools guide individuals and organizations in discerning truth and making informed
decisions. In modern business, evidence-based decision-making aligns directly with
this principle. Leaders must rely on data, analysis, and expert advice to formulate
strategies that address complex challenges. This approach avoids speculation and
focuses on actionable insights, ensuring clarity and precision in decision-making.

Example: A retail company planning to expand into a new market conducts extensive
surveys (pratyaksha), uses predictive analytics to forecast potential revenue (anumana),
benchmarks against competitors in the region (upamana), and consults industry
experts (shabda) to validate its strategy. This multi-faceted reliance on evidence
mirrors Nyaya’s approach to knowledge acquisition.

2. Logical Framework for Problem-Solving
The structured reasoning advocated by Nyaya is a powerful tool for breaking down
problems into manageable components, analyzing cause-effect relationships, and
identifying root causes. This systematic process helps businesses address challenges in
a methodical way, reducing the likelihood of errors or oversights. Logical frameworks

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