What makes a competition strategic? In ALL strategic competitions (as opposed to those of pure luck or pure skill), the success of your move depends upon correctly predicting the moves of others. In the special case of predicting opponents, this understanding leads potentially to an infinite loop. Both you and your opponents both try to "outguess" each other, but that thinking leads down the rabbit hole. Each level of "he knows that I know" leads to you reversing your decision. You think that he thinks that you think that he thinks that you think...ad infinitum.