How to do Competitor Analysis in Business Management

What is competitor analysis, how to undertake this activity, and tools used for competitive analysis in Business Management.

What is Competitive Analysis?

Competitive analysis is the process of identifying your competitors and evaluating the differences, strengths, weaknesses, market position, strategies adopted by these companies.

This exercise enables a business to understand its market position and to identify opportunities to gain competitive edge.

Frameworks such as Porter’s Five Forces is commonly used for competitive analysis in business management.

Examples of Competitive Analysis

Startup selling athleisure clothing

Here’s a competitive analysis for a startup that plans to produce athleisure clothing for fitness enthusiasts in India.

Competitor: Tommy Hilfiger.

Products: Online 25- to 40-year-old men and women. Good quality clothing- leggings with internal pull-up hooks, jogger’s magnetic buttons, and easy open necklines on hoodies.

Strengths and Weaknesses: Well-known brand selling a range of sportswear. Strong brand presence via social media, digital marketing, online ads/ Influencers and models promoting. Thousands of employees. Worldwide distribution and a sizable web presence. Limited selection of gym options. No additional lines available for men or women in target market.

Competitor: Nike, Puma

Products: Shoes and Sportswear.

Strengths and Weaknesses: Excellent brand recognition. High quality products. Products are Premium.

Competitor Analysis of Mobile Phone Industry in India and UK

Introduction to the global smartphone industry:

Current Trends linked to technology, global sales, global growth rate of smartphones, customer preferences.(get data )
Global total shipments of smartphones (get data)
Global market share of smartphones(get data)
Total number of Smartphone users worldwide (get data)

Take the top 3 companies and compare the following data

• a)Sales from 2010-2019
• b) Profit/Revenue 2010-2019
• c) Market share 2010-2019
• d) Growth rate 2010-2019
• e) Investment in technology
• f) Diversification of product line
• g) Expansion in other countries
• h) Low cost of manufacturing-good quality raw materials, skilled labour, better waste management facilities etc.
• i) Product Pricing(Penetration/Skimming),product packaging
• j) Time taken to respond to customers(look at customer reviews here)
• k) what type of market structure is the mobile phone industry following and why???

Data to be found as above points for the top 3 competitors for UK and to be compared.

Potential Causes for Difference in Performance of Mobile Phone Industry

Compare the PESTLE factors of India and UK have impacted the growth and sales of the top competitors in India and UK in the mobile phone industry.

Provide recommendations for Market Entry – Either UK or India (Any 1)

If India- will a JV or Strategic Alliance or Merger or Acquisition will work and why give your POV.
Again, compare data of PESTLE and competitor from Heading 2,3 and 4

In conclusion mention your understanding of the mobile phone industry.