Reference no: EM133144968

Discussion-How do you respond to the competition?

EXPLANATION FOR 5 QUESTIONS

Unless you are in a growing market, you can only establish your business at someone else's expense. Other businesses are going to do something to minimize the threat when you open your business. These are your direct competitors. However, your market can also be diluted when customers chose substitue products or services. These are your indirect competitors.

Many service industries are also characterized by what is sometimes called "friendly competition". It happens in dentistry, engineering, law, medicine and other professions. Rivals adopt an attitude of "sportsmanship" to avoid open hostility or find different ways to segment a market. Some even refer clients to each other. Do you know what the social conventions are in your industry?

For a few suggestions on how to deal with this issue, watch the video below on "How do you respond to the competition?" by Evan Carmichael. The video is 4:31 minutes long. In it he mentions three basic strategies that are especially to new startups. Can you name them? When you are finished, follow the instructions below.

REFERENCE: https://youtu.be/yTPbFy6aoog

Questions

For this discussion, answer the questions below in your original post:

What kinds of direct and indirect competition does your business face?

How do you plan to stand out from your competition? (generalize, specialize, or segment?)

How do you expect your competition to react to your business? What counter action can you take?

Are there any opportunities in your market for customer cross-referal or strategic alliances?

If a customer pits you directly against one of your competitors, how will you handle the rivalry?