Time For Completion: Approximately 20-30 hours
Competitive Analysis It is an assessment of the differences between a firm and its competition.
As well as a detection and examination tool to define the factors that cause these differences.
The section breaks down the competition into direct and indirect competitors and gives you an idea about how to go head-to head with these companies in order to reach potential customers.
Whats in it?
The competitive analysis first gives an overview of your direct and indirect competitors in relationship to your business and gives a list of all your competitors based on this definition.
In the most basic sense, direct competitors are those that sell a similar product.Why its Important
A competitive analysis is incredibly useful because it reveals your company’s true position within the market. It shows you what your competitors are doing and demonstrates to potential investors how you are unique from the competition.
After completing a competitive analysis, you will have a better understanding of your competitive advantage and be able to foresee any potential barriers your startup has to enter the market.
Insider Tips:
- Your competition can be one of your greatest sources of new ideas when starting a business. There is no need to reinvent the wheel. The successful companies have figured out what works best through years of testing and copying what works.
The next section will show you how to reach your potential customers in the Marketing Plan. Remember, you can take a look at one of our sample business plans at any time.
