What is Competition? Two Meanings!

Competitive Environment
Knowledge Center
			
			              Competitive Environment > Forum > What is Competition? Two Meanings!
			            
			              What is Competition? Two Meanings!
Marten van der Zee, Student (University), Netherlands, Premium Member
Everyone knows what competition is approximately. But actually the concept of competition can have TWO meanings:

A. The Extent of Rivalry (Competitive Struggle) in a market: how strong is the battle in a market for the favor of the customers? In other words, how intense is the competition? A typical approach for this is Porter's 5 Forces Model

B. All individual competitors together: the collective name for all the competitors of a company.

Because of these two different meanings, a competition analysis normally consists of 2 components:

1. An analysis of the intensity of the competitive rivalry in a market, and

2. An analysis of the behavior of the individual competitors. This is known as competitor analysis.
			            
											Read all responses and join this discussion yourself. 
Support your career and personal development with 12manage, the management platform.

														     Log in
													
	                              Special Interest Group Leader
	                            
	                            Interested? Sign up for free. 

	                            Competitive Environment
	                          
	                                Summary
	                                ForumAdvantages and Disadvantages
Macro Enviroment vs Competitive Environment
What is Competition? Two Meanings!
How to Analyse your Competitors? Steps in Competitors Analysis

												              Best Practices
Competitive Environment
Knowledge Center
Next Topic