Why you must first of all identify your business competitors.

[TOZZIBLINKZ]

Majority of business managers and business owners usually do the mistake of situating their business in a particular area or location without even having in full knowledge who their competitors are or where the competitors are located. The size and income of a particular area shouldn't be the only thing to focus on when trying to find the right location to situate your business, it is expected for you to also have in mind that other individuals may have taking advantage of the same environment and may have also established businesses similar to the one you have in mind. And so taking your time to examine the area accurately and considerably to find out if there are competitors to the business you are going to establish. Your next step towards your business establishment and implementation totally depends on the finalization of your decision based on how many competitors are in the same area.

1 to 2 competitors may not be a problem, but when competitors to the business you have in mind to establish are within 5 to 10 then that could be a big problem, and in my own view and perspective, I would not situate my business in that area, but instead move my business intentions to another area or possibly change my business idea to another one which can also take advantage of the size and income of individuals residing in that area. Competitors and business rivals can totally be a distraction to potential businesses, so in order to reduce your chances of being affected by them, you must do your best in identifying them first before you establish your business.

 

[fredastaire]

you hit it right on the head. Competitor does not mean enemy. you can still best them but learn from them at the same time. even when you are losing down bad

 

[Activator230822]

There are many benefits to the entrepreneur when they try to identify and know their competitors in the business. For instance business owners must know the existence of a competitor in order for them to know the prices for their competitors. This can also be a price determining factor for your business. When setting a price for commodities entrepreneurs tend to make a price comparison with their competitors. They then set a balanced price that is not too lower than the competitors but also a price that can cater for the business operation costs.

To learn their mode of doing business and the way they conduct the customers and take advantage of their weakness with the aim of winning the customers.

To know what quality and nature of the products they sell to the customers - Entrepreneurs tend to improve the quality of the products of their competitors and make sure that they produce higher quality and unique products to the market for the purpose of attracting more customers.