Try it risk-free Do you own a business and want to know how to stand out from the pack?In this lesson, we will discuss what competition analysis is, how to determine your competitors, and ways to compare yourself to competitors through business planning.The importance of business planning is knowing how to out-perform competitors.
Try it risk-free Do you own a business and want to know how to stand out from the pack?Tags: Immigration To Canada ThesisWorld Bank Essay Competition Youth UnemploymentEssay On Current N EconomyPhysics Homework SolverEssay On Advantages And Disadvantages Of Shopping MallsBusiness Planning CycleEffect Essay InternetShort Essay On Advantages Of InternetAnimals Should Not Be Used For Research Essay
It may be helpful to write down all of your competitors and decide what you have in common with them and what is different.
Consider all relevant factors, like product quality, physical location and appearance, expertise, payment methods and refund policies, customer service, and marketing style.
Competition analysis allows you to learn your competitors' strengths and weaknesses, and then use that information, or competitive advantage, to improve your own business planning and practices.
The best way to determine who your competitors are is through research, such as through SWOT analysis.
Competition analysis can be done whenever you are planning a product or service launch or revision.
Using a SWOT analysis on competitors makes it easier to visually analyze a competitor's strengths, weaknesses, opportunities, and threats.
It is crucial for you to know information about your competitors so you can make your products or services different and, ideally, better than theirs. They are your direct competitors because they are the same type of business (restaurants), and they also serve the same kind of food.
You must determine which competitors are your direct competition and which are your indirect competitors so that you can use this information in your business planning. An example of an indirect competitor would be a French restaurant. The best way to learn who your competitors are is through research.
Weaknesses are what the competition needs to work on: the cost of goods is too high, which may be causing the company to have to continue to raise prices.
An opportunity signals a business to improve its product or service by using competitive advantage.