Page 22 - Sustainability and entrepreneurship for CSO's and CSO networks Cambodia 1 November 2018
P. 22
Competition
Every organisation deals with competition. The CSO sector is raising billions of dollars every year, given to the sector by donors, charity, government or international bilateral/multilateral institutions. The CSO sector is an oligopolistic market: few providers (donors) dominate the market and define the rules for its implementors (CSOs). Since many CSOs work in the same field of operation, aim for the same budgets, the same attention and priority, competition is high and increases when budgets are reduced. It is not easy to find out about your competitors, since the field of operation is broad; for example organisations for persons with disabilities are related to CSOs working with street children, gender equality, elderly people, education, health. It is important to determine who your business fellows and competitors are and what they plan plan to do next.
• Task
Answer the following questions:
• Can you assess the dynamics of your partners: close, related (CSOs, CSO networks) and distant?
• How are your services and products compared to those of your close competitors?
• Do you offer similar products and services?
• What is your price, service, and location compared to your close
competitors?
• How do you communicate? Do people know about your organisation (name,
brand, logo etc)? And what about your close competitors?
How do your close competitors do financially? How do they get money?
Maybe you will decide not to jump into competition. Spending time, money and energy for nothing is no option. Therefore it may be better to create your own Blue Ocean, to find your own niche, innovate and to start a social enterprise. You can also decide to mitigate competition by: take-overs, merging, federation, joint venture, forming consortia. Especially in an oligopolistic market you have to increase your reputation/influence, your track record and your communications to keep up with the demands of your donors.
• Task
Fill in the matrix. Be creative in thinking who your competitors are. Sometimes your close neighbour is a competitor, or your branch organisation.
•
competitor analysis
business partners
close
related
distant
services
price
delivery
location
brand / communications
social media
face to face contacts
printed/aired media
finance/staffs
comfortable
surviving
struggling
reputation/influence
strong
moderate
weak
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