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Why are competitors bad for a business?
Competitors can be problematic for businesses. For example, some competition can be territorial (within the same location or area), where one business tries to force other businesses to close down by setting its prices extremely low or putting on offers that other businesses can’t compete with.
How do competitors affect your business?
Competition can lead companies to invent lower-cost manufacturing processes, which can increase their profits and help them compete—and then, pass those savings on to the consumer. Competition also can help businesses identify consumers’ needs—and then develop new products or services to meet them.
Why are competitors important to a business?
Competition Provides Reassurance The presence of competition means that customers have the option to choose either your business or another business. Competition is important for your business because it provides reassurance that you’re getting customers because of the quality of your products and services.
Why is competing with your competitors important?
Competition is a natural part of doing business. While it can often seem intimidating, it’s actually a vital component of doing business, that forces you to innovate and stay on top of current trends and tactics. In short, it can be a struggle to take on competitors but it makes your business the best it can be for your customers.
Is competition good or bad for business?
Your competition can help you make informed decisions, and you can learn from them what works and what doesn’t. But don’t fall into the trap of worrying about every little step they take – it will drive you mad!
Do you have a fear of being taken out by your competitors?
For many of us, it is the fear of being taken out by a competitor. Even the alpha male chant of “Destroying our enemies” implies that, in turn, our enemies can destroy us. It is both motivating and debilitating, as it reminds you that your strategic foothold is so weak that it can be lost at any moment.
Is your business promoting the same benefits as your competitors?
Tons of businesses boast about their years in the industry or their top-of-the-line customer service. These are both valuable, but if you’re promoting the same benefits as your competitors, those benefit statements become expectations of your product or service—not differentiators.