Competitive Environment

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Description of Competitive Environment. Explanation.


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Definition Competitive Environment. Description.

The Competitive Environment is the part of a company's external environment that consists of other firms trying to win customers in the same market. It is the segment of the industry that includes all immediate rivals.

Levels of Competition

With regard to competition, there are at least four levels that can be distinguished:

  1. Product Competition. This is competition focused on the same market segment. For example: Diet Pepsi and Diet Coke.
  2. Product Category Competition. This is between products with the same characteristics, such as various soft drinks.
  3. Generic Competition. This is competition between products that respond to the same needs of customers, such as drinks.
  4. Budget Competition. This competition is for the money of the customer (share of wallet), such as between food and entertainment.
Competitive Environment Forum
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Competitive Environment Special Interest Group

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Best Practices - Competitive Environment Premium

Expert Tips - Competitive Environment Premium

The Role of Competitors in Strategy and Business FailuresSign up

Gilad (2014) researched in what way and to what ex...
Usage (application): Competitive Strategy, Competitive Environment, Competitive Intelligence, Industry Analysis

Resources - Competitive Environment Premium

Managing Competitive IntelligenceSign up

Presentation that gives an introduction into Compe...
Usage (application): Competitive Intelligence, Business Intelligence

Michael Porter on Competiveness of a NationSign up

Harvard Professor and Co-leader of the US Competiv...
Usage (application): Global Competition, Comparative Advantage, Competition Between Nations and Regions

External Environment In-depth: Sub-types and How to Manage ThemSign up

This presentation covers the topic of external env...
Usage (application): External Environment, Environmental Scanning, Environmental Management, Competitive Environment

PEST Analysis for Small and Medium-sized CompaniesSign up

Ian Johnson summarizes the PEST Framework in the c...
Usage (application): Initial Understanding of PEST Analysis, Summary

Interview Porter: How to Apply the Five Forces Framework?Sign up

Interview Michael E. Porter, Professor at Harvard ...
Usage (application): Applying the 5 Forces for Fundamental Industry Analysis

Interview Michael Porter: Getting Started with the 5 Forces and Involving EverybodySign up

Interview Michael E. Porter, Professor at Harvard ...
Usage (application): Initial Understanding of Industry Analysis

Understanding Value PropositionSign up

How can a Firm Earn a Profit by Solving Customer P...
Usage (application): Introduction to Value Proposition, Teaching

News about Competitive EnvironmentSign up


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Compare with: Five Competitive Forces  |  Industry Attractiveness  |  Competitive Advantage  |  Shared Value  |  PEST Analysis  |  Strategic Fit  |  Benchmarking  |  Oligopoly  |  Competitive Pricing  |  Competitive Position  |  Competitive Intelligence  |  Barriers to Entry  |  Globalization  |  Cartel  |  Horizontal Integration  |  Horizontal Merger  |  First Mover Advantage  |  Second-mover Strategy  |  Blue Ocean Strategy  |  Macro-Environment  |  Market Segmentation  |  Glocalization  |  Positioning  |  Organizational Resilience  |  Time to Market

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