How does the story of Victorinox Swiss Army knives challenge existing business practices?

One of the most innovative ideas presented in The Infinite Game is the concept of thinking in generations rather than quarters. This long-term perspective was exemplified by Victorinox Swiss Army knives. After their knives were banned from carry-on luggage post 9/11, instead of resorting to extreme cost-cutting and layoffs, they doubled down on product development. They leveraged their brand to venture into new markets such as travel gear and watches. This strategic shift not only diversified their product range but also doubled their revenues. This approach could be applied to other businesses facing similar existential challenges, encouraging them to think beyond immediate crises and plan for long-term sustainability and growth.

Victorinox Swiss Army's approach to business challenges existing paradigms by focusing on long-term sustainability rather than short-term gains. When faced with a crisis that threatened their main product line, they didn't resort to extreme cost-cutting or layoffs, which are common practices in such situations. Instead, they invested in product development and explored new markets. This approach not only saved the company but also diversified their product portfolio and doubled their revenues. Their CEO's statement, 'We do not think in quarters. We think in generations', encapsulates their philosophy of thinking beyond immediate profits towards building a resilient and competitive organization.