You can get such information in many ways. You can call a rival company
and request brochures, find them on the internet, visit the shop, seek
information at the library, buy their products, interview persons who have
bought rival products, etc.

If there are too many competitors for you to know them individually you
must determine the total number of competitors and try to pinpoint the ones
presenting the biggest threat to your own existence.

Cooperation
Often, it can be worthwhile considering your competitors as your colleagues
or collaborators.
If the market for your service is sufficiently wide or has the potential of
expansion all parties would benefit from cooperation. If you get an order too
big for you to handle on your own, two competitors/colleagues may come in
handy and help fulfilling the requirement.

Potential for development
Most products have a certain life span on the market. It can be long or short
depending on product or service. Also developments in the society and in
technology will have influence on the life span.

The life span can be divided into four periods:

1. Pioneer – it is brand new and few people know of it and it is difficult to
sell
2. Star – now people know of it and would like to have one – maybe it is a
bit expensive
3. Cash cow – the product is now mainstream and you can ‘milk the cow’
4. Fading star – too many has tried it and a new star is on it way

This life span counts for most products and services.

1. If you open a Sports Bar and Cafe it will be unknown in the beginning
and few guests will come (Pioneer)
2. If it is well driven people will say “Have you tried the new Sports Bar
and Cafe? – I have heard it is good” (Star)
3. If it continues being well driven many people will know it and enjoy a
good time (Cash Cow)
4. If nothing changes for 3-5 years people will start finding it dull and go to
other places (Fading Star)

Where is your new business in the life span? If it is a fading star from start
you should certainly find ways to convert it into a “star”.



19
Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40  |  Page 41  |  Page 42  |  Page 43  |  Page 44  |  Page 45  |  Page 46  |  Page 47  |  Page 48  |  Page 49  |  Page 50  |  Page 51