Direct
A firm that sells the same products and services as you in the same markets.Indirect
A firm that sells different categories of products and services but are in the same industry and same markets. For example, a cafe and restaurant in the same city are indirect competitors.Replacement
A firm that sells products and services that are in a different industry that could be used as a substitute for your products. For example, a restaurant and a supermarket in the same city.Potential
A direct, indirect or replacement competitor that currently has no distribution in your markets. For example, an organic cosmetics company that is popular in Europe but that has no sales capabilities in the United States represents a potential competitor for American cosmetic firms.Future
A firm that has business capabilities that would allow them to quickly take market share if they entered your markets. For example, a large technology company may be perceived as a competitor of smaller technology firms even if they haven't entered their market yet.| Overview: Competitor | ||
Type | ||
Definition | A firm that has potential to take your customers. | |
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