Tips on Competitive Business Analysis
Like a boxer, preparing for a boxing bout, he must study his adversary carefully and be aware of the opponent’s strong and weak points. In business bout this is known as competative business analysis
For anyone trying to grow a business, one of the first tasks is to map the competitive landscape. With a good understanding of the competition facing your company, you'll be able to spot and exploit opportunities as they develop. These dozen points should help.
Know Your Competitors
Knowing one’s competitor calls for information about their financial muscle, mental capabilities and physical strength. Financial muscle involves the size of its monetary prowess. Mental capabilities of competitors’ employees is a big factor as to the latter’s ability to compete. Physical strength is the size and presence of the said competitor in areas of concern These Data and Information can be had by
- Testing competitor’s products and service;
- Analyzing the capabilities, experience and educational attainment of their employees;
- Attend trade shows that the competitor participates;
- Be stockholder of the competitor’s company for you to received information of updates of what is happening in their company;
- Use Internet to get some information about them;
- Examine public records to have better understanding of competitor’s strength;
- Interview competitor’s costumers to get an inkling of costumer’s views and comments about your business adversary.
After acquiring the necessary information and data, the next move in the competitor business analysis process is how to anticipate competitor’s moves and goals. This is important, because from here, business moves can be formulated and applied.
- Knowing competitors products and service, one can improve its services and products to be more competitive;
- Analyzing competitors capabilities, one can adjust and improve the capabilities of its employees;
- Having data and information about competitors will help to formulate business course of action to neutralize and overcome the other party’s advantages and strong points.
And lastly, have a bird’s eye view of the competition field. One can anticipate the moves other potential competitors; and always be aware of them. After doing the first two steps, one is now ready to take action, not a defensive one, but an offensive move already. After completing the Competitor Business Analysis, one is ready to face any adversary confidently.