Competitiveprofilematrixcpmstrategicmanagementinsight-160316142029.pdf

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Home Strategy Tools CPM
Competitive Pro±le Matrix (CPM)
Ovidijus Jurevicius | 29.10.2013
De±nition
The Competitive Pro±le Matrix (CPM) is a tool that compares the ±rm and its
rivals and reveals their relative strengths and weaknesses.
Do you know what your
COMPETITORS
are doing?

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Score & Total Score
The score is the result of weight multiplied by rating. Each company receives a score
on each factor. Total score is simply the sum of all individual score for the company.
The ±rm that receives the highest total score is relatively stronger than its
competitors. In our example, the strongest performer in the market should be
Company B (2.94 points).
Bene±ts of the CPM:
The same factors are used to compare the ±rms. This makes the comparison
more accurate.
The analysis displays the information on a matrix, which makes it easy to
compare the companies visually.

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The results of the matrix facilitate decision-making. Companies can easily decide
which areas they should strengthen, protect or what strategies they should
pursue.
Using the tool