Slide 5 Over time firms take compe titive actions/reactions Pattern of rivalry shows that firms are mutually

interdependent Firm level rivalry is usually dynamic and complex Foundation for successfully building and using capabilities and core competencies to gain an advantageous market position

Slide 6 gambar Slide 7 First step to understanding competitive rivalry and identifying who your direct competitors are 2 components to assess : Market commonality and resource similarity The question : to what extent are firms competitors Number of markets in which firm compete agains each other Direct competitors have high market commonality and resource similarity Direct competition does not always imply intense rivalry

Slide 8 The number of markets with which the firm and a competotir are joinly involved and degree of importance of the individual market to each Each industry composed of various markets which can be subdivided into segments Ex .. Firms with greater multimarket contact are less likely to attack but more likely to respond when attached Thus, multimarket competition reduces competitive rivalry

Slide 9 extend to which firms tangible/intangible resources are comparable to competitors in type and amount

can result in similar strengths and weaknesses and similar strategies being persued the more similar the types and amounts of resources the more direct the cpmpetition is between two firms combination of market coomonality and resource similarity indicate a firms direct competitors

slide 10 market commonality and resource similarity influence three drivers of competitive behavior awareness extent competitors recognize degree of mutual interdependence that result from market commonality and resource similarity effect the extent to which the firm understands the consequences of its competitive actons and responses motivation firms incentive to take action, or to respond to a competitors attact, as it relates to perceived gains and losses the firm is more likely to attack a rival with whom it has low market commonality ability firms resources that allow competitive action and flexibility to respond without available resources and firm lacks the ability to respond

slide 12

Competitive Rivalry (Persaingan Kompetitif) Tindakan kompetitif dan tanggapan kompetitif yang berkelanjutan yang terjadi antar pesaing karena mereka bersaing dengan satu sama lain untuk posisi pasar yang menguntungkan.

Competitive action Strategic or tactical action firm takes to build or defend its competitive advantages or improve its market position

Competitive response Strategic or tactical action the firm takes to counter effect of a competitors action

Slide 13 Strategic and tactical actions Strategic actions / responses : market-based moves that signify a significant commitment of organizational resources to pursue a specific strategy Difficult to implement and reverse Tactical actions / responses : market-based moves involve fewer resources to fine-tune a strategy that is already in place Easy to implement and reverse