COMPETITION

There was a time when only a few players of a particular product/service were existing in the market. But today quite a few players for a particular commodity compete with each other. The consumers today have a large variety of choices to choose from. The companies offer different varieties of the same product and try to please the customers.

Almost every segment in the market is being competed in. Be it FMCG, automobile industry, telecom industry-  all have a large number of players which affect the strategy of each other.  Any move by a player is bound to have an impact on the other players, and they will be coming up with a counter move.

A recent example of this is the talks about the merger of IDEA CELLULAR and VODAFONE. The free services offered by RJIO may lead to such a major change in the telecom industry of India. Airtel has also lowered its tariff rates. Thus a single new entrant can cause such a topsy -turvy in the market.

Another example of a new entrant causing problems for long established major players is PATANJALI. The ayurvedic brand has captured a large market share from P&G and HUL in the FMCG sector.

The competitors are ever ready to make use of any mistake committed by any company. The Maggie case gave opportunity for Yippie noodles to increase its sales.

It is extremely necessary for any company to be aware of the strategies of its competitors and always be ready to face any situation as the industry is dynamic and any competitor may come up with a strategy which may take away the market share from others

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