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Objectives

Objectives. Identifying Competitors Evaluating Competitors Competitive Intelligence Systems Competitive Strategies Customer vs. Competitor Orientation. Industry Competition. Number of Sellers - Degree of Differentiation Entry, Mobility, Exit barriers Cost Structure

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Objectives

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  1. Objectives • Identifying Competitors • Evaluating Competitors • Competitive Intelligence Systems • Competitive Strategies • Customer vs. Competitor Orientation

  2. Industry Competition • Number of Sellers - Degree of Differentiation • Entry, Mobility, Exit barriers • Cost Structure • Degree of Vertical Integration • Degree of Globalization

  3. Objectives Competitor Actions Strategies Reaction Patterns Strengths & Weaknesses Analyzing Competitors

  4. Markets Commercial & Industrial Individual Users Educational Personal Computers Dell Hardware Accessories Products Software Competitor’s Expansion Plans

  5. Market nicher Market leader Market challenger Market follower 40% 30% 20% 10% Hypothetical Market Structure & Strategies Expand Market Attack leader Special- ize Imitate Defend Market Share Status quo Expand Market Share

  6. (2) Flank defense (3) Preemptive defense (4) Counter- offensive defense (5) Mobile defense Defense Strategies Attacker Defender (1) Position defense (6) Contraction defense

  7. (4) Bypass attack (2) Flank attack Attacker Defender (1) Frontal attack (3) Encirclement attack (5) Guerilla attack Attack Strategies

  8. Specific Attack Strategies • Price-discount • Cheaper goods • Prestige goods • Product proliferation • Product innovation • Improved services • Distribution innovation • Manufacturing cost reduction • Intensive advertising promotion

  9. “Nichemanship” • End-user specialist • Vertical-level specialist • Customer-size specialist • Specific-customer specialist • Geographic specialist • Product or product-line specialist • Product-feature specialist • Job-shop specialist • Quality-price specialist • Service specialist • Channel specialist

  10. Balance Customer Competition + ID opportunities + Fighter orientation + Long-run profit + Alert + Emerging needs & groups + Exploit weaknesses - Reactive

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