[ChuckMcM]

What I took away from the quote wash that in personal disputes between individuals, when one individual pulls out a handgun it escalates the dispute to the level of potentially mortal harm. Prior to that level of escalation there could be a knock down drag out fight but it would be perhaps less likely to result in someone dying. Further, when the stakes become 'life or death' because someone has a gun, the responses take on a level of urgency and desperation that they would not have at lower threat levels.

So from the perspective of an analogy, corporations don't have 'blood' they have money, which is an analog for blood. And up to the point where they are arguing about this and that the total amount of money that is at stake is constrained by the companies involved deciding not to do business with each other. But a lawsuit can drain a disproportionate amount of money out of the 'target' (and the instigator). This 'escalates' the problem because what is at risk is higher. And, like an individual, when you threaten a company with more serious damage, their willingness to respond with more harm goes up significantly, if they feel like they are fighting for their life they will do things that normally would be considered 'too risky.'

So as an analog, the handgun and a lawsuit are escalation to the conflict which can result in much greater harm.