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Competition.

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Presentation on theme: "Competition."— Presentation transcript:

1 Competition

2 Customer bargaining power Supplier bargaining power
Competitive Forces Segment rivalry New entrants Substitute products Customer bargaining power Supplier bargaining power

3 Who is the competitor? Identifying competition is critical
Entry barriers Exit barriers Industry classification Market classification

4 Are all customers equal?
Vulnerable High Likely to defect. Let them go Profitable but not loyal. Try to retain These are happy, but you may not want them Loyal and happy. Retain Low High Low Valuable

5 Identifying Competition
Share of Market – Actual market share Share of Mind – Top of mind recall for brand/company Share of Heart – Preference for brand/company

6 Which competitors to focus on?
Strong vs. Weak Close vs. distant Good vs. Bad

7 Counter Offensive Defence
Defence Strategies Defense Strategies Position Defence Flank Defence Premptive Defence Counter Offensive Defence Mobile Defence Contraction Defence

8 Offence Strategies Frontal attack Flank attack Encirclement attack
Bypass attack Guerilla attack

9 Customer and Competitor Orientations
Customer focused Alert to market situations. Product/service innovation Has to be nimble in the market Meeting needs profitably Mostly reactive. Cannot satisfy all customers May have to compromise company goals


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