Competitor Analysis
http://university-essays.tripod.com/competitor_analysis.html
INTRODUCTION This article focuses on the key aspects of competitor analysis. It defines competitor analysis and gives suggestions on how to write a good competitor analysis. The article identifies sources on where to find information for a good competitor analysis, and also gives organizational examples to provide good illustrations of utilizing information for competitor analysis. Competitor analysis is a critical part of a firm 's activities. It is an assessment of the strengths and weaknesses of current and potential competitors, which may encompass firms not only in their own sectors but also in other sectors. Directly or indirectly, competitor analysis is a driver of a firm 's strategy and impacts on how firms act or react in their sectors. Gluck, Kaufman and Walleck (2000) showed that competitor analysis is one of two components that give a firm a strong market understanding (see figure 1). This drives the formulation of a strategy and it applies whether a firm formulates a strategy through strategic thinking, formal strategic planning, or opportunistic strategic decision making. Competitor analysis, together with an understanding of major environmental trends, is a key input in strategy formulation and should be developed properly. In utilizing competitor analysis as part of strategy formulation, firms are able to adapt or build their own strategies and be able to compete effectively, improve performance and gain market share in their businesses. In a large number of instances, firms are able to tap new markets or build new niches. For example, after European air travel was deregulated in the mid-1990s, Ryanair and Easyjet focused on the no-frills market and provided low-cost travel across Europe after figuring out through competitor analysis, where the opportunities were emerging (Binggeli and Pompeo, 2002). The authors showed that, at the point in time, Ryanair and Easyjet were performing better
INTRODUCTION This article focuses on the key aspects of competitor analysis. It defines competitor analysis and gives suggestions on how to write a good competitor analysis. The article identifies sources on where to find information for a good competitor analysis, and also gives organizational examples to provide good illustrations of utilizing information for competitor analysis. Competitor analysis is a critical part of a firm 's activities. It is an assessment of the strengths and weaknesses of current and potential competitors, which may encompass firms not only in their own sectors but also in other sectors. Directly or indirectly, competitor analysis is a driver of a firm 's strategy and impacts on how firms act or react in their sectors. Gluck, Kaufman and Walleck (2000) showed that competitor analysis is one of two components that give a firm a strong market understanding (see figure 1). This drives the formulation of a strategy and it applies whether a firm formulates a strategy through strategic thinking, formal strategic planning, or opportunistic strategic decision making. Competitor analysis, together with an understanding of major environmental trends, is a key input in strategy formulation and should be developed properly. In utilizing competitor analysis as part of strategy formulation, firms are able to adapt or build their own strategies and be able to compete effectively, improve performance and gain market share in their businesses. In a large number of instances, firms are able to tap new markets or build new niches. For example, after European air travel was deregulated in the mid-1990s, Ryanair and Easyjet focused on the no-frills market and provided low-cost travel across Europe after figuring out through competitor analysis, where the opportunities were emerging (Binggeli and Pompeo, 2002). The authors showed that, at the point in time, Ryanair and Easyjet were performing better
References: Attwood, K., 2007. Ladbrokes places bet on Spain with joint venture. The Independent. [Published 9 January 2007]. Available from:http://www.factiva.com. [cited 7 September 2007]. Baig, E., 2007. iPhone 's fab, but Apple could make it even better. USA Today. [Published 5 July 2007]. Available from:http://www.factiva.com. [cited 7 September 2007]. Bales, C., Chatterjee, P., Gluck, F., Gogel, D. and Puri, A., 2000. The business system: a new tool for strategy formulation and cost analysis. The McKinsey Quarterly. Available from:http://www.mckinseyquarterly.com. [cited 7 September 2007]. Bingelli, U. and Pompeo, L., 2002. Hyped hopes for Europe 's low cost airlines. The McKinsey Quarterly. 2002 (4), pp.87–97. Courtney, H., Kirkland, J. and Viguerie, P., 2000. Strategy under uncertainty. The McKinsey Quarterly. Strategy Anthology, pp.81–90. Dahlstrom, P., Deprez, F. and Steil, O., 2004. Meeting the no-frills mobile challenge. The McKinsey Quarterly. October 2004, pp.9–11. Dow Jones International News 2007. Emirates Plans To Double Airbus A380 Order To 110. [Published 8 September 2007]. Available from:http://www.factiva.com. [cited 8 September 2007]. Garsombke, D., 1989. International Competitor Analysis (Special Issue: Competitive Analysis). Planning Review. [online]. [Published 1 May 1989]. Available from: http://www.factiva.com. [cited 7 September 2007]. Gluck, F., Kaufman, S. and Walleck, S., 2000. The evolution of strategic management. The McKinsey Quarterly. Available from:http://www.mckinseyquarterly.com. [cited 7 September 2007] . Koller, T., 1994. What is value-based management? The McKinsey Quarterly. 1994 (3), pp.87–101. McGonagle J. and Vella, C., 2002. A case for competitive intelligence. Information Management Journal. [online]. 36 (4). Available from: http://www.factiva.com. [cited 7 September 2007]. Netmba.com 2007. Competitor analysis. www.netmba.com [Accessed: 6 September 2007]. Slater, S. and Narver, J., 1994. Market Orientation, Customer Value, and Superior Performance. Business Horizons. [online]. [Published 1 March 1994]. Available from:http://www.factiva.com. [cited 7 September 2007]. Stanley, B., 2006. China Cosco may offer a harbour if shipping runs into rough seas. The Wall Street Journal Asia. [Published 11 July 2008]. Available from: http://www.factiva.com. [cited 7 September 2007]. Copyright 2002-2007 Papers4You.Com All Rights Reserved