C3 Competition
Competition exists where there are rival firms selling similar products to the same target audience with the aim of making a profit. Competing firms will make adaptations to their marketing mix in order to draw customers away from competitors.
A competitive advantage is a factor or factors that make the goods and services of one firm more desirable to customers than another. Factors influencing competitive advantage include differentiation, pricing policies, market leadership, reputation, market share, cost control, technology, relationships with customers, suppliers and employees.
The benefits of establishing a competitive advantage include brand image, increased sales, repeat purchases, economies of scale resulting from growth and increasing market share.
