Page 42 - BA1 Integrated Workbook STUDENT 2018

Chapter 4

Competitor analysis

This gives further understanding of the competitive environment of the
organisation.

Steps:

Identify competitors – existing and potential

 Brand – sell similar products to the same customers as us.

 Industry – sell similar products but to a different market segment to
us.

 Form – sell products that satisfy the same needs but are different to
ours.

 Generic – compete for the same income as our products.

Analyse competitors

 What drives the competitor? What are their objectives and
assumptions?

 What is the competitor doing or capable of doing? What is their
strategy?

Develop competitor response profiles

 Laid back – won’t respond.

 Selective – will respond to attacks on selected markets only.

 Tiger – always responds aggressively.

 Stochastic – no predictable pattern exists.

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