Competition includes all the actual and potential rival
offerings and substitutes a buyer might consider. Understand that your
competitors include actual and potential offerings from industry operators,
potential new entrants and market competitors.
The ability to identify and analyze all actual and potential
competitors to your business is key to surviving in a fierce market place,
keeps you ahead of them and helps you develop strategies to overcome them.
To analyze its competitors, a company must identify its
competitor’s strategies, objectives, strengths and weaknesses and then device
its own strategies to overcome them. It must also have a clear understanding of
the environment it operates in.
Understand that the environment you operate in is similar to
that of your competitors. Learning how to overcome the challenges in your
business environment is a step towards overcoming the competitor.
Companies are also increasingly being faced by the threat of
buyers growing bargaining power and suppliers growing bargaining power. As such
companies must spend time to research and understand its actual and potential
customers, what they expect from them, how to exceed their expectations as well
as what influences their buying patterns. Exceeding customer expectations is no
mean feat. In today’s business world, customers are increasingly knowledgeable
about product choices, service standards and above all consumer rights, hence
the increase in buyers bargaining power. Exceeding customer expectations has become
a must do for any business that is serious about gaining market share, loyalty
and customer trust.
Finally you must understand that if you are unable to
impress potential customers and keep your current customers loyal to your brand
then you have already lost to the competitor no matter the strategy you choose
to adopt.
Understand that the customer is the reason why you are in
business and not the competitor. If the product offering and service delivery
is excellently superb, then your competitors will naturally have a hard time
keeping up with you even if you have not deliberately prepared an attacking
strategy to defeat them. With all these being said, you need a business strategy
to overcome the competitor. In addition to the facts earlier listed, your
strategy will also depend amongst so many other factors on your financial
muscle, objective, the level of competition, competitors approach, your market
position, marketing indices etc.
To get the full course "Overcoming Competition in Business", please click the course logo on our homepage
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