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Holguin Martinez Abraham Matzumiya Maldonado Kryssia Meraz Montoya Diana Rivera Montaño Melanie Romero Zazueta Jose

The document discusses what a competitive analysis is, the purpose of conducting one, and the steps involved. A competitive analysis determines the strengths and weaknesses of competitors within the market in order to develop effective strategies. The main steps are to identify current and potential competitors, group them by strategies, and then analyze their weaknesses and strengths to identify opportunities and threats.

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Melanie Rivera
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55 views13 pages

Holguin Martinez Abraham Matzumiya Maldonado Kryssia Meraz Montoya Diana Rivera Montaño Melanie Romero Zazueta Jose

The document discusses what a competitive analysis is, the purpose of conducting one, and the steps involved. A competitive analysis determines the strengths and weaknesses of competitors within the market in order to develop effective strategies. The main steps are to identify current and potential competitors, group them by strategies, and then analyze their weaknesses and strengths to identify opportunities and threats.

Uploaded by

Melanie Rivera
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Competitive

Analysis

Holguin Martinez Abraham


Matzumiya Maldonado Kryssia
Meraz Montoya Diana
Rivera Montaño Melanie
Romero Zazueta Jose
Introduction
What is a competitive analysis?

The competitive analysis is a statement of the


business strategy and how it relates to the
competition.
What is the Strategies that will provide you with a distinct
advantage, the barriers that can be developed in
purpose of it? order to prevent competition from entering your
market, and any weaknesses that can be
exploited within the product development
cycle.
The purpose of the
competitive analysis is to
determine the strengths and
weaknesses of the
competitors within your
market.
Why is it important?
Conducting a competitive analysis is important
because you'll build:

An understanding of how your existing and potential


customers rate the competition.

A mechanism to develop effective competitive


strategies in your target market.

An idea of what gives your company an advantage


over its competitors.
Steps
There are essentially two ways you can identify competitors;

The first step in a competitor analysis is to identify the current and potential
competition;
Look at the market from the customer's viewpoint and group all your competitors by the degree to
which they contend for the buyer's dollar.

The second step is to group competitors according to their various competitive


strategies so you understand what motivates them;

Once you have grouped your competitors; analyze their strategies and identify the areas where
they are most vulnerable. This can be done through an examination of your competitors'
weaknesses and strengths.
Process
● Choose your Top Competitors. Consider competitors you come up against
on a regular basis and where you have similar capabilities.

● Describe Each Competitor. The attributes you choose to define your


competitors should be meaningful for your market and should help to
understand what you're up against.

● Describe Their Competitive Offering. Be sure to list those products or


services you also offer and those that you do not provide.
Process
● Summarize Their Online Presence. The online presence has the most potential for
gaining advantage or for losing out to your competitor.

● List Their Strengths. Examples of strengths include company size, location, focused
value proposition, specific target market, deeper or broader offering, faster delivery,
lower price, certain quality standards, etc.

● List Their Weaknesses. Examples of weakness include having a small or non-existent


sales team, low gross margin, low net profit margin, low cash flow, high employee
turnover, location, building size, etc.
Process
● Identify Your Opportunities. Opportunities will manifest based on the list of weaknesses
you have compiled in the previous step. It's a good idea to prioritize the opportunities you
choose to pursue.

● Identify Threats. There will be some competitors who have formidable strengths which are,
or could be, a threat to your firm. Consider what your response will be to current or potential
threats.
Example of an International
Company
Microsoft's primary competitors, Apple and IBM, both have competing operating systems
with a great deal of marketing to accompany them; however, both suffer from weaknesses that
Microsoft has been able to exploit. Apple's operating system for its Macintosh line of
computers, while superior in many ways to Windows, is limited to the Macintosh personal
computers; therefore, it doesn't run many of the popular business applications that are readily
available to Windows. To an extent, IBM's OS/2 operating system suffers from the same
problem. While it will run on all of the personal computers Windows can run on and even
handle Windows applications, the number of programs produced for OS/2 in its native
environment is very small. This is the type of detailed analysis you need in analyzing an
industry.
Example in Mexico
Competitive analysis of organizations dedicated to the service of entertainment, information and television education.

Competing sellers: Televisa sets the standard in terms of competition and its position in the market is greater.

Entry of new competitors: UNIVISION, TELEMUNDO, or all those companies that are Latin and wish to enter television
channels in Mexico.

Competitive pressures from Substitute Products: Substitute products, sell technology, all those companies that wish to advertise,
on television and radio, magazines, information via the Internet.

Competitive Pressures Emanating from the Bargaining Power of the Supplier and its support between him and the seller:
Suppliers of servers or computer equipment Compaq HP provide maintenance services, updating and distribution of equipment

Competitive Pressures Emanating Buyer Negotiation and collaboration between seller and supplier: It is a demanding market
since day by day an innovation and maintenance of systems at the forefront must be constantly carried out, for which it is
necessary to carry out an adequate segmentation of audience time
Example in Sonora
Conclusion

Competitive analysis is an important part of a firm's development of its strategy. Its


importance lies in the understanding of competitors, their strategy, and resources and
capabilities. A competitive analysis provides a firm with the knowledge to leverage its
strengths and address its weaknesses and, conversely, take advantage of weaknesses of
competitors and counter their strengths.
Quiz
What is the purpose of competitive analysis?

What does the first step in a competitor analysis consist on?

Mention two phases of the Competitive Analysis process.

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