CH 3 Scanning The Marketing Environment For Opportunities
CH 3 Scanning The Marketing Environment For Opportunities
Competitive forces
The competitive environment, also known as the market structure, is the
dynamic system in which a business competes.
The state of the system as a whole limits the flexibility of a business.
1. Direct competitors
2. Indirect competitors
Identifying and Analyzing Competitors
• Here are the five forces as a foundation for developing a strong analysis of
a competition.
1. Threat of New Potential Entrants
2. Threat of Substitute Product
3. Bargaining Power of Suppliers
4. Bargaining Power of Buyers
5. Rivalry among Competitors
Market Opportunity Analysis
The following procedures involved in analysis
Is a kind of business planning of market opportunity is presented below;
that emphasizes on discovering Identify what’s currently happening in the
the future opportunities and business environment
evaluating the company’s Define the industry and determine the outlook
technological, financial, and Look into the details of competitors
competitive willingness to Describe the target market
make use of them. Create projections
Marketing Strategies Based on Market
Dominance
• A market dominance is a measure of Market leader
the strength of a brand, product,
service, or firm, related to • Is a dominant in its industry. It
competitive offerings. typically is the industry leader in
• There are four types of market developing innovative new
dominance strategies that a marketer business models and new
will consider; These are the market products. Of the four dominance
leader, market challenger, market strategies, it has the most
follower, and market nicher. flexibility in crafting strategy.
The main options available to market leaders are;
1. Expanding total market- the leader normally gains more when the
total market expands. When total market or the industry expands, major
player will gain more.
a. Add new users
b. Discover new users
c. More usage per occasion/time
d. More frequent uses
The main options available to market leaders are;