How do you assess the competitive intensity and rivalry in a new market?

Know who your competitors are and how they operate. Generate internal information. Follow up on their generation information like newsletter, website, journals, social media posts etc. You will gain insights in their products and offering through this, you can analyze metrics that are relevant for your business growth in direction of improvement and innovation.

conduct a thorough analysis of the existing competitors, including their market share, strengths, and weaknesses, using tools like Porter's Five Forces model. This model evaluates competitive rivalry, threat of new entrants, bargaining power of suppliers and buyers, and the threat of substitute products or services. Market research, such as customer surveys and industry reports, can also provide valuable insights into competitive dynamics, pricing strategies, and customer preferences, helping to gauge the level of competition and the challenges of entering and thriving in the new market.

Assessing the level of competition and rivalry in a new market requires a thorough analysis of various factors. Here are some essential steps to consider: 1. Competitor Analysis: Identify and examine the existing competitors in the market. Evaluate their market share, strengths, weaknesses, and strategies. 2. Market Concentration: Determine the extent to which market share is concentrated among existing competitors. 3. Entry Barriers: Evaluate the barriers that may hinder new entrants from easily accessing the market. 4. Pricing Dynamics: Analyze the pricing strategies employed by competitors. Also Product Differentiation, Industry Growth and Customer Switching Costs should be considered too.

Entering a new market can be challenging, but assessing competitive intensity is key to success. Here’s my approach: 1. **Industry Analysis:** Study market size, growth, and key players. 2. **Porter’s Five Forces:** Evaluate the threat of new entrants, supplier and customer bargaining power, threat of substitutes, and existing rivalry. 3. **SWOT Analysis:** Identify strengths, weaknesses, opportunities, and threats. 4. **Market Trends:** Stay updated on technological, economic, and social changes. 5. **Competitor Strategies:** Review competitors' marketing, product offerings, and customer service. By consistently analyzing these factors, you can make informed decisions and thrive in any market.

I prefer to go through the distribution structure, depending on the market it is necessary to understand your strength versus weakness. If you are importer then you need studying distributors, are you entering into saturated market or growing market, where demand is driven by what factors?

Again I will use the distribution channels to understand how deep rooted the competitors are. I also use 14 or 21 days rotation cycle of product from the warehouse to the shelf and then to consumer.

From my experience, its easy to get carried away with big market size numbers for a new technology or solution. Its important to step back and evaluate if that is indeed possible and that every technology has a steep learning and adoption curve. Unless a pragmatic approach is taken, SWOT analysis can become just a framework and may give false hope business success. Its always prudent to do a little back of the envelope calculation on your own for market size and market growth estimates.

When analyzing competitors, it's crucial to examine their supply chain resilience. In today's volatile market, a competitor's ability to manage supply chain disruptions can be a major strength or a crippling weakness. Assessing this can inform your strategic decisions, from inventory management to supplier diversification.

Think of it like playing a game ??. You're checking out your opponents' moves to see where they're strong and where they might slip up. Look at what they're good at — like maybe they have super-fast delivery or really friendly customer service. Then, check where they might struggle, like if their website crashes a lot or they're slow to respond to complaints. This helps you figure out where you can shine and where you can outdo them! ??

Evaluating competitors' strengths and weaknesses involves detailed analysis. First, I look at their product quality, innovation, and features. I assess their market positioning and brand strength by analyzing their marketing strategies and customer perceptions. Financial health is another key area; I review their revenue, profitability, and investment in R&D. Operational efficiency is important too—examining their supply chain, production capabilities, and distribution networks. I gather customer feedback from reviews and social media to understand their customer service and satisfaction levels. Lastly, I consider their adaptability to market changes and technological advancements.

We will examine the impact of the industry structure on competition intensity and rivalry as we continue our analysis of this industry. Our analysis will include the third step to gain a greater understanding of how industry structure influences competition intensity and rivalry within an industry. Porter's five forces model, the PESTEL model, and strategic group analysis are all useful tools for analyzing external factors shaping an industry. Suppliers' and buyers' bargaining power, threats from new entrants, substitutes, differentiation, and concentration, regulatory and political environments, and technological and social trends all contribute to the evolution of the industry and regulatory environment.

The only entity who wins from competition is the customer. Avoid it! Innovation is cheaper than competition. Estimate market demand versus supply. You can only really make money when demand exceeds supply. What is the current supply capacity (and how quickly could it grow) versus the demand predictions (growth rate for the market). Search for niches or regions where demand exceeds supply. AgentGPT is quite good for doing a quick market analysis of potential markets and segments. Use that or GPT to do quick analysis and then validate via market gossip mechanisms (conferences, social media, industry bodies, etc)

Assessing the competitive intensity in a new market starts with understanding the industry's structure. I look at factors like the number of competitors, their market share, and how easily new players can enter. I also consider the availability of substitute products and the bargaining power of customers and suppliers. The goal is to get a holistic view of the market landscape. By doing this, we can pinpoint opportunities to stand out and areas where we need to stay alert.

Pestel is good analysis but I deal with often on one hand with developing economy and on the other with 3rd world countries. So in PEstel analysis I am few extra add on to understand these market.

It is important to be analytical while understanding any industry's structure. I personally find PEST (Political, Economic, Social and Technological factors) analysis very effective. First, examine relevant political variables like regulation, policies, and stability that may impede competition. Analyze economic factors like demand and cost of entry to understand viability. Study social and cultural variables influencing consumer behavior and preferences. Finally, assess the technological and innovation levels that could disrupt the industry. Assign weights to each element based on relevance. An aggregate score on these dimensions indicates the overall competitive climate; higher scores signal greater rivalry.

- Use Porter's Five Forces analysis to evaluate the competitive rivalry, threat of new entrants, threat of substitutes, bargaining power of suppliers, and bargaining power of customers in the new market. This comprehensive approach will help you understand the competitive intensity and potential challenges. ?? - Conduct a SWOT analysis specific to your business in the context of the new market can provide valuable insights into both internal capabilities and external opportunities or risks. ?? - Engage with local market experts or consultants who can provide nuanced insights and up-to-date data on market dynamics, competitor strategies, and regulatory changes that could impact your market entry and performance. ??

As you prepare for the future, it is extremely important to assess the attractiveness of the market and how this can impact both your opportunities and risks. You can estimate the potential demand, revenue, and profits from the market by using a variety of tools, including a market size analysis, a market growth analysis, a segmentation analysis, and a customer analysis, to estimate the potential demand, revenue, and profits. Furthermore, some methods can be used to determine how uncertain, volatile, and contingencies you might face as you operate your business, including scenario analyses, sensitivity analyses, and risk analyses, which can be used to determine how to proceed with your business going forward.

Currency devaluation, restriction on taking wealth out of the market, other legal obligations and restrictions, security and legal structure.

In assessing market attractiveness, look at the innovation trajectory. Markets with rapid innovation cycles can be highly attractive but may require a commitment to continuous R&D to stay competitive. Gauge if your business can keep up with the pace of change to ensure long-term viability in the market.

Imagine you're deciding which playground to play in ??. You'd want to know how big it is, how many kids are there to play with, and if it's growing or changing. That's like estimating the market attractiveness! By figuring out how many people might want what you're offering, how much they might pay for it, and what could change along the way, you can decide if it's the right playground for you to have fun and succeed! ????

Networking and Industry Events: Attend industry conferences, trade shows, and networking events to connect with competitors, industry experts, and potential partners. These events provide valuable insights and opportunities for collaboration.