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About NEWS from 9 types of competition and their characteristics + Competition Analysis SErviec

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About NEWS from 9 types of competition and their characteristics + Competition Analysis SErviec

In this article I will enter fully into the wide world of competition and I will make a complete analysis of the different types of competition that exist, as well as I will put examples in each of them.

I will finish the article explaining how to make an analysis of the competition, it may seem that it is something simple and simple, but it is not, this analysis is framed in the external analysis of a digital marketing plan. Switzerland Consumer Email Lists

Table of Contents [hide]

What is competition?
The great Types of Competition
Specific Competence Types
Analysis of the competition: How to do a step-by-step analysis
Conclusions
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What is competition?
We know the competition mainly framed in 2 areas, although there are many more; the business environment where several companies compete with a product or service, and the field of sport, where this term is known more by competition, where a series of teams compete with each other to see who is the best or who best results.

But do we understand well that it is a competition?

The reality is that no.

In my classes I usually do exercises to evaluate if my students understand well what is real competition and what is not, and I always put examples like;

“Imagine that you create a computer store and start selling computers, then Mediamarkt would be our competitor, right?”

Actually, it is not, my mother how our store would have to grow so we can consider mediamarkt competitor, but you would be surprised how many students miss this simple question.

The great Types of Competition
Perfect Competition
Perfect competition is obtained when no agent, company or brand influences the price of a product or service.

Characteristics of the Perfect Competition:

There must be a great market demand.
There must be a great offer to cover that demand.
There is a homogeneity in the product or service.
Be a transparent market where the participants are aware of the rules of the game.
Any company or brand can enter and exit whenever they want in this competition process.
 

Imperfect competition
Imperfect competition occurs when an agent, company or brand influences the price of a product or service.

There are three forms of imperfect competition:

It is the most extreme case, where a single source completely controls the market. A clear example of imperfect competition of monopoly type on the Internet we have it with the Google search engine, reaching market shares above 96%, as for example in the case of Spain.
The case of oligopoly also happens a lot, when several companies or brands can influence the price and the market. To give an example let’s do 2 exercises; think a drink with gas Coca Cola, Pepsi ?, think of a hamburger Mac Donalds, Burguer King?
It occurs when there is only a single consumer or buying company, that makes it more able to influence the price.