Nusha12
New member
Competition is a battle between businesses to win consumer acceptance and loyalty. Competition is all about value that is, creating it, capturing it and retaining it. To be successful today, your company must become competitor oriented. You must pursue the right competitive strategy, avoid strengths of your competitors and look for weak points in their positions and then launch marketing attacks against those weak points.
There are basically four types of competition that is:
1. Perfect competition. This occurs in a market where there are many sellers or producers dealing in similar or homogeneous products facing many buyers. Some of firms facing perfect competition include; small bars and restaurants, variety stores, convenience stores, professional services (dentists, doctors, lawyers, accountants, architects).
2. Monopolistic competition/imperfect competition. This exists in market where there are many firms or producers dealing in products which are close substitutes but highly differentiated facing many buyers. The products in the market are close substitutes but each firm tries to differentiate its products from the rest of the firms to make it look better and attractive. For instance cosmetic industry, movie industry, soap industry.
3. Oligopoly. This exists in a market where there are few large firms producing either similar or homogeneous products or differentiated products facing many buyers. It's where limited number of companies compete for consumers purchase.
4. Monopoly. This exists in a market with single large seller with no close competition and no alternative substitution.
There are basically four types of competition that is:
1. Perfect competition. This occurs in a market where there are many sellers or producers dealing in similar or homogeneous products facing many buyers. Some of firms facing perfect competition include; small bars and restaurants, variety stores, convenience stores, professional services (dentists, doctors, lawyers, accountants, architects).
2. Monopolistic competition/imperfect competition. This exists in market where there are many firms or producers dealing in products which are close substitutes but highly differentiated facing many buyers. The products in the market are close substitutes but each firm tries to differentiate its products from the rest of the firms to make it look better and attractive. For instance cosmetic industry, movie industry, soap industry.
3. Oligopoly. This exists in a market where there are few large firms producing either similar or homogeneous products or differentiated products facing many buyers. It's where limited number of companies compete for consumers purchase.
4. Monopoly. This exists in a market with single large seller with no close competition and no alternative substitution.
