Having recently finished the amazing HBO series The Wire, I wondered what it can teach people about business and found myself learning a few lessons myself:  

Lesson #1: Reputation is the only coin of the realm 

“What got you here is your word and your reputation. With that alone, you’ve still got an open line to New York. Without it, you’re done.” -Brother Mouzone

Cash can settle transactions but reputation can cement relationships. Ongoing business requires relationships. Consequently, you have to defend your reputation fiercely if you want to access the best talent (e.g. Brother Mouzone) and product (e.g. Proposition Joe’s package).  

Lesson #2: Most problems are just people problems

“Game’s the same, just got more fierce” -Slim Charles

Politicians, drug dealers, and businessmen all face many of the same challenges which are largely people problems at the root. Relationships are the challenges and solutions to these individuals’ goals and careers. Codes of conduct and ethics largely govern these relationships but in recent times may seemed to have waned, leading to a much more dog eat dog world unfortunately for all those involved. However, those who try their best to adhere to the rules of the game and accepted conduct seem to be the ones who come out on top (e.g. Slim Charles).

Lesson #3: Deliver unsolicited messages to compelled listeners

“Middle management means that you got just enough responsibility to listen when people talk, but not so much you can’t tell anybody to go fuck themselves” -Major Colvin

When low level soldiers and entry level dealers wouldn’t listen to a unilateral offer of peace with the police, the commanding officer took the proposal to the mid-level dealers to great effect.  Low level gatekeepers tend to ignore requests because they either can’t do anything about it or they don’t want to risk their neck.  The mid level folks have to be on the look out for opportunity and can effect change all the while they have to represent the organization well in order to advance forward. They are the perfect folks to reach out to when you don’t have a high-level relationship or introduction.

Lesson #4: Distribution is as important as product

“I’m just a gangster I suppose and I want my corners” -Avon Barksdale

Despite obtaining a superior product (less diluted crack in this case), Avon was insistent on owning the end distribution to customers.  The ones owning the beginning and end distribution points benefit disproportionately and the middlemen can get squeezed with little recourse.  The economic gains may accrue to distribution owners but they certainly work much harder than middlemen; however, the payoff partly comes from the strategic control of one’s own destiny.

Lesson #5: Stick to your domain expertise

“What I tell you ‘bout playing those fuckin’ away games?” -Avon Barksdale

To win, you need to stick to what you know or you need to be prepared for some losses along the way.  Entering any new field has a learning curve that comes with it and in business, those necessary lessons have costs.  If you want to avoid losses but enter new areas, then utilize your domain expertise and hire full-time experts in fields you don’t know.  This ensures the necessary expertise identifies itself as part of the organization and will contribute to its long run success.  

This is why Slim Charles, a full-time hire, was such a successful soldier for the Barksdale organization while security consultants and other temporary muscle failed in the long run. Engaging consultants for limited time periods to simply show you the ropes is a bad idea because while you think you’ll be saving money through their guidance, you’ll be actually just losing more money to them in the long run.

Conclusion 

With that, I’d say of course that you can’t expect everything you learn from one thing like The Wire to apply to new areas.  However, the show can certainly be instructive, if not eye opening, and I’d recommend it to anyone.