When companies in industry experience a boom, many companies fail (or still do not know how to develop) and more companies begin to join in trying to take responsibility. This necessary behavior occurs whenever it succeeds, which causes competition between every company in the same industry, causes a chain reaction and ultimately leads to many other factors.
So is business competition good for any industry? If so, how can competition help active participants grow?
Although many entrepreneurs are afraid of competition and would rather try a business (with fewer direct competitors), but do not actually achieve the original income, competition is essential for their growth and success.
Here are 7 reasons why the competition is good for your business:
1). How to help lazy entrepreneurs stay alert:
The worst nightmare facing Internet companies is when they wake up and find that Google has decided to build a business that can compete domestically or globally. While there may be a long way to go before the Google sample, allowing many more small business owners to compete directly with entrepreneurs can put little (or great) pressure on your spine.
When entrepreneurs realize that they have some form of competition, they start doing things more effectively by solving problems and making other important decisions in a timely manner.
Whether the entrepreneur is lazy or not, knowing that a new entrant can inconspicuously leave the market, if not to a large extent, will increase its will to work harder.
2). Mandatory customer service improvement:
When direct competitors care more about customers than you do, you begin to lose control of them. Business competition is creating a way to improve customer service. When everyone strives for their market share, they do their best to convince customers that they should trust them better than anyone else. They are said to provide incredible incentives, provide better customer service and provide a more satisfying experience.
This is a vital part of the competition.
Without direct competitors, customers will suffer and sometimes may not even know that they are being cheated by a single company that supports any product or service.
3). Support innovation:
Commercial competition increases the demand for innovation. As a lone player in the industry, you really don't want to improve products or services. But as new players enter and begin to quietly or actively disrupt your market, innovation becomes critical.
Innovation is essential in the work cycle of any large company. It can differentiate you and distinguish you from direct competitors.
4). Turn your employees into rock stars:
If the industry is highly competitive, employees will continue to learn new and better ways of doing business to achieve the best results. The competition significantly improves the workforce as they receive up-to-date training and experience gained from the challenges.
Thanks to the activities that employees have (especially in highly competitive industries), they quickly become the best in the industry.
5). It can help you identify your strengths and weaknesses:
The competition is literally the best in your business. This will help you understand your strengths and weaknesses so you can focus on your core market.
Without competition, you will never realize that any aspect of your business can have better control over your customers.
6). Therefore, you can work faster and smarter:
Of course, because there are direct competitors in your industry, your work pace becomes faster, smarter, and more efficient overall.
Any company that does not change its attitude to the market and still has new players is preparing for unexpected hostility.
More competitors should always mean that you have to make more effort. If other companies continue to join your industry, you should not only improve services, but also work faster and smarter!
7). Reduce operating costs:
While it's a lazy approach, commercial competition will reduce your market research costs. As more and more companies enter your industry, they do market research and try new things. If they do, some of their experiments will work, while others will not.
As these new companies conduct market research, it is important to pay attention to their business in business. If they find that something newer is working, they can apply some of them to your overall strategy. This step will give you more experience and you can spend a lot of money on it.
How do you see these seven reasons why competition is good for your business? Let me know by leaving a comment below.
Content created and supplied by: Bizzboye (via Opera News )