MBA-FP6012_LawsonAngelia_Assessment2-1.docx - Running head COMPETITIVE ANALYSIS 1 Competitive Analysis Angelia R Lawson Capella University COMPETITIVE

MBA-FP6012_LawsonAngelia_Assessment2-1.docx - Running head...

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Running head: COMPETITIVE ANALYSIS 1Competitive AnalysisAngelia R. LawsonCapella University
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COMPETITIVE ANALYSIS2Competitive AnalysisLeadership guru and professor of Anthropology at Cambridge University aptly quotescompetition as, “Believing that your competition is stronger and better than you pushes you tobetter yourselves,” (Competition Quotes, n.d.). Competition within the business realm can haveboth positive and negative effects on an organization and it is the manner in which saidorganization will handle the rivalry that will provide it with an ability to thrive or falter. Tobetter comprehend how competition can have a positive effect on business, it is important tounderstand why it is important and how it can be utilized. Overall, competition is the, “rivalrybetween two or more persons or groups for an object desired in common, usually resulting in avictor and a loser but not necessarily involving the destruction of the latter,” (Competition, n.d.).Meaning, it is when one or more organizations who produce similar merchandise options striveto reach the same client base in which to sell. Throughout this competitive environment there isthe capability of a competitive advantage, which occurs when one of said businesses is able toprovide the same product line and value as its competitors, but does so at a lesser cost. Why is competition good?Within business competition is sure to arise and it is considered good competition when itassists a business in continuing to grow and seek out ways in which to enhance their currentmarket. There are several reasons why it is essential for Southwest to have competitors – Provides Reassurance: customers will understand they have options when selecting aproduct line from various businesses; but when competition occurs, a businessunderstands and is reassured that their clients are purposefully selecting them as theirprovider of services. Ultimately, said business is obtaining their client base due to thequality, pricing and customer service that is evident; which then leads to,
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COMPETITIVE ANALYSIS3Building Loyalty: those clients that continue to select the same business are doing sofor those factors listed above and are becoming a loyal customer base for which thebusiness can grow. Additionally, it is these clients who will be the businessesimpromptu advertiser by providing word of mouth reviews and recommendations toothers. Next, it is the, Market Research: which identifies that as a business, it is natural for clients to jumpfrom your business to a competitor, or where a client will leave a competitor for you;when this occurs it is important to attempt and learn the reasons behind the switch. It
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