Competition

Aims & Objectives

Aim:

E-D
C-B
AA*

Understand how businesses

compete.
Define competition
Examine the differences and
similarities between firms
Analyse strategies firms use
to compete

Brand Similarities &

Differences
What market are these businesses
in?
What are the similarities between
these two brands?
What are the differences between
these two brands?

SIMILARITIES BETWEEN BRANDS

DIFFERENCES BETWEEN BRANDS

SIMILARITIES BETWEEN BRANDS

DIFFERENCES BETWEEN BRANDS

SIMILARITIES BETWEEN BRANDS

DIFFERENCES BETWEEN BRANDS

SIMILARITIES BETWEEN BRANDS

DIFFERENCES BETWEEN BRANDS

SIMILARITIES BETWEEN BRANDS

DIFFERENCES BETWEEN BRANDS

Competition
Where businesses are rivals with
each other.
They are in the same
industry/market.
They tend to compete in different
ways to attract the most customers.

Why Should a
Business Try to
Make Itself
Different From Its
Rivals?

Why Should a Business Try to

Make Itself Different From Its
Rivals?
Attract
More
Customer
s

Make
More
Sales
Make
More
Profit

DD
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Differences

Differences
Differences

Di
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What can a business

do to make it
different from its
rivals, attracting
more customers?

What can a business do to make it

different from its rivals, attracting
more customers?

Product
Range

Design

Quality

After Sales
Service

Shopping
Experience

Brand
Image

Price

COLLECTIVE MEMORY GAME

What can a business do to make it

different from its rivals, attracting
more
customers?
Offer a large product range to appeal to many
Product Range

customers.
Offer a slightly different product range to
rivals.

Quality

Offer better quality products/services then

your rivals.

Design

Offer alternative designs of products to your

rivals.

Shopping
Experience

Have products in an attractive shop which is

well laid out.

After-Sales
Service

Offer refunds on faulty products, but also if

the customer no longer wants it after
purchasing.

What can a business do to make it

different from its rivals, attracting
more customers?

Price
Brand
Image
Supplier
s

Charge lower prices to attract more customers with

low incomes to buy low quality product/service.
Charge higher prices to attract customers with high
incomes for a high quality product/service.
Lowering price only possible if you can lower your
business costs.

Build up a brand image and reputation

through good service, products and
advertising.
Build a logo that is recognisable eg.
McDonalds.
Gain cheaper supplies from suppliers so
your costs fall.
Then you can charge a cheaper price
then rivals.

A business makes bottled and canned soft

drinks. Which of the following in itself is most
likely to make it more competitive against its
rivals?
A) The employment of two extra workers.
B) An increase in costs compared to last year.
C) The launch of a new range of drinks.
D) A reduction in the price of its drink range.