Retail Observer

RETAILOBSERVER.COM JANUARY 2026 28 I n 2007, Netflix faced a crossroads. Their DVD rental model was thriving – it was wildly successful by any standard. But streaming was beginning to emerge as a technical possibility, even though it was still buggy, underdeveloped, and largely unproven. Some Netflix leaders urged the company to double down on what was working, while others pushed for a pivot. Rather than picking one, Netflix chose to pursue both. Rather than run away from the tension, they leaned into it. And that decision – embracing contradiction instead of "resolving" it with a fearful knee-jerk move – became foundational to Netflix's evolution into a global media powerhouse. Leadership often demands a willingness to carry contradictions without rushing to resolution. Jim Collins described this as the Genius of AND – the discipline to reject false choices and instead embrace the fullness of possibility. It's an ability to hold opposing truths long enough for something new, original, and often more resilient to emerge. In complex systems, "either/or" thinking often fails, while "both/and" opens space for creativity, innovation, and growth. Mature leadership is measured by the capacity to stay centered while we're being pulled in opposing directions. In this respect, nature is a valuable teacher. Trees that bend with the wind survive. Rivers shape stone, not by force but by persistent yielding. Tension isn't a problem to solve. It's a pattern to engage with. Legendary Swiss psychiatrist and philosopher, Carl Jung, called this "the tension of the opposites." He believed that psychological growth comes not by resolving tensions prematurely, but by learning to hold them. He wrote: "The self is made manifest in the opposites and in the conflict between them." Individuation – becoming whole – requires contradiction. And so does leadership. The same principle plays out in the best organizations. Netflix thrives because it demands both radical freedom and radical accountability. Patagonia threads deep ecological responsibility into a consistently profitable business model. Toyota built its manufacturing legacy not by choosing between stability and change, but by pairing stable processes with relentless, incremental improvement. Across industries, success stories emerge not from binary thinking, but from honoring complexity and embracing paradox. Research backs this up. A 2023 Harvard study on adaptive leadership identified "complexity fitness" as a core differentiator: leaders who hold paradoxes perform better under pressure, align teams more effectively, and make higher-quality decisions. Meanwhile, IMD's "Paradox Mindset Inventory" finds that leaders who embrace tension generate more creativity and build cultures with higher satisfaction, engagement, and resilience. Organizational psychologists refer to these tensions as "competing demands." Effective cultures don't eliminate them – they practice living within them. This requires leaders who can resist premature clarity, sit with discomfort, and invite others into that generative space. When we stop trying to force resolution, we open space for emergent solutions. Still, this work is uncomfortable. We're wired for closure. Brené Brown explained it well: "Our cognitive wiring for clarity often overrides our capacity to hold tension." So we collapse paradox into false binary choices – innovate or stabilize, grow or consolidate, move or pause. But the moment we force a choice, we often lose the most alive and dynamic part of the decision. The practice is to pause and notice the discomfort without rushing through it. When you feel the pull between opposing priorities, ask: • What if both are necessary? • What if the tension is the teacher? • What if a third, better way will only emerge when we stop trying to force resolution? Let me dispel the notion that holding a paradox is a sign of indecision. It isn't. It's about a deeper form of resolution, one that leads to transformation. Jung believed that "a third thing" often emerges from the tension of opposites – a new perspective that couldn't exist without the strain that birthed it. Instead of trying to master paradox, practice staying with it. This means paying close attention to the tensions in your team: speed and reflection, autonomy and alignment, candor and compassion. Cultures that thrive over time are those that learn to navigate the paradoxical complexity of business without trying to simplify it. Strength doesn't come from choosing sides. It comes from rhythm. The oak doesn't survive the wind by resisting; it survives by dancing with it. That's the Genius of AND. LEADERSHIP AND THE GENIUS OF AND Why great leaders hold tension, not certainty Steven Morris On Brand Steven Morris is a brand, culture and leadership advisor, author, and speaker. Over his 25+ years in business he's worked with 3,000+ business leaders at 250+ global and regional companies. Discover: https://matterco.co RO

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