Strategic Thinking in Arthashastra and its Corporate Relevance

An Exploration of Ancient Indian Wisdom for Modern Business

Abstract

The Contemporary corporate landscape, characterized by volatility, complexity, and ethical scrutiny, increasingly seeks enduring principles for sustainable success. This paper investigates the strategic insights of Kautilya’s Arthashastra and their relevance to contemporary corporate systems, focusing on the implementation of its core principles in modern business environments. It explores the direct applicability of its core tenets- such as the Saptanga (seven limbs of the state), Shadgunya (six-fold foreign policy), and principles of Yogakshema (welfare and scrutiny) – to new era corporate leadership, governance, strategic formulation, sustainability practices, and ethical work environment. Furthermore, this research situates Arthashastra within the broader context of Indian philosophical traditions, including the Vedas, Upanishads, and Bhagavad Gita, to demonstrate how these age-old wisdom systems can collectively inform and enrich contemporary business practices. An effort has been made to analyse Arthashastric Principles and their modern corporate analogues in a tabular representation highlighting key business areas impacted. A detailed analysis has been made on one of India’s largest and most respected conglomerate i.e. The Tata Group,  demonstrating ESG Performance Metrics along with  its  improved Stakeholders trust and organizational resilience in this paper.