To flourish in today’s fast-changing world, you need to concentrate more on competitors, and less on carrying out your old success strategy. Understanding and remaining in front of your competitors are among the key elements in thriving in the business world.
Understanding who your competition is, what they’re thinking, where they stand, and where you position yourself in comparison makes or break a strategy or even a brand name altogether, you need to be part of disrupting and changing markets to be able to compete effectively. Here are some tips to keep you ahead of your competitors.
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Exemplify your strengths
Simply because another small business might surpass certain criteria of your business model doesn’t indicate you can’t achieve a competitive advantage. Recognize the strengths of your business which are superior to other businesses in the area, and concentrate greatly on marketing those qualities. If perhaps another business provides a higher quality of service, but at a greater cost, you can emphasize your low prices. When your competitor offers extremely low prices but is struggling with customer service, you can concentrate intensely on developing an ideal customer experience.
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Attend Seminars
There are seminars and shows for every market, business, and division out there. These are sound learning activities both for the business itself to acquire advanced expertise as well as to provide a perception of what they’re up against. All these proceedings can shed light on modern and more effective technologies, expertise, or techniques and strategies that competitors might not be familiar with yet. It can also give your staffs an opportunity to branch out and become motivated by other forward-thinkers in your business.
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Differentiation
Your business needs to create some distinctive features which are highly valued by customers for their uniqueness. The best way is to make your product different in specific ways, by creating distinctive features, pick the interest and encourage loyalty in its customer. Customers will become less sensitive to price because it is difficult to compare the firm’s product with other competitors.
The business can sell the product at a higher average price and earn a higher profit, where the profit can be used to improve its distinct features further.
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Cost leadership
A firm should have several advantages already in place such as
- The infrastructure should be large enough to enjoy a scale advantage
- The business should have a source of cheap materials.
- Attention should be paid to the quality and services.
With this strategy, the business invests at large scale investment and then sells the product at a low price to gain market share when you’ve achieved a higher market share that can now buy material at a lower price while achieving a high profit you can continue to invest in reducing prices. What this means is that you can invest money to be able to get large volumes of the material you need to achieve lower price.
