The Laws of Thermodynamics are fundamental rules which govern all processes in nature. To the casual observer, they can be confusing and misunderstood or entirely forgotten about. However, to anyone with a basic understanding of the Laws, they are a reminder that nothing is free in nature. For the former, please call me and don’t read anymore of this post. I have a perpetual motion machine and an energy pump that I’d like to sell you. For the latter, read on.

The First and Second Laws of Thermodynamics remind us simply that (1) energy is limited and (2) there is a maximum efficiency to which energy can be used (i.e. energy always comes at a cost). Think about that the next time you’re driving your fancy hybrid vehicle down the road. The batteries in your car came at a cost. The Nickel in them had to be mined, rifined, and processed at a huge cost to the environment. This is the Second Law in action. The entropy of the universe must increase (you can’t get something for nothing). Where the hybrid does excel is in its ability to take advantage of limiting its future losses to nature. Having a low profile, narrow tires, and ‘recouping’ some of the losses when braking by charging its batteries. That is the best we can do: limit our losses. The lowest entropy, and therefore most efficient cars, are those that utilize the most efficient processes when being designed, built, and operated (for example the new Smart Car).

Since the Laws of Thermodynamics are Laws and apply to all processes, then they must be applicable to marketing right? How efficiently can a product be marketed to a target audience? A company may put little effort at advertising its product or it may pour huge amounts of money into a campaign. The efficiency of its campaign could be measured by looking at the effort (dollars) to market the campaign compared to the market response (profit). I’m sure there are more ways and more accurate tools to measure this in the marketing world (not my field of expertise). In a heat cycle, this can often be measured by comparing the energy expended in the real cycle (Rankine Cycle) with that of an ideal cycle (like the Rankine Cycle of a Carnot Engine). The difference is the efficiency.

In the end, a company must seek the balance between spending and earnings to maximize profits (efficiency) since the Second Law tells us that this is the best that any of us can do.