Typically, every business owner will face competition

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Sooner or later. How can this competition between businesses happen? This usually happens because the companies involved in the business sell the same products or services , or because they target the same customer group . When this situation occurs, competition is inevitable. However, how a business reacts or responds to competition is something interesting for us to observe. Suppose you are a trader and one day, another trader starts entering the market where you do business and becomes your competitor. What will you do? How do you deal with this situation and what are your actions to face this competitive challenge? From my observations and readings, there are several reactions or responses by traders to competition.


Among them are: (1) Do nothing Sometimes we can also call this approach the australia phone number resource wait and see method . Consider business as usual (BAU) . In this situation, the business owner will ignore or consider the emerging competition as unimportant . Therefore, he does not make any changes or improvements to the product, service quality, price or marketing strategy used. Whether he realizes it or not, this do-nothing approach is risky in the long run. Their business has the potential to lose customers and will lose privileges. If it is proven that the new competitor is many times better than the existing business, the existing business will slowly start to receive a negative impact that could cause it to be forced to close down at some point.


Basically, many problems will start to arise if this trader chooses the do-nothing approach. (2) Surrender to defeat This is the approach taken if the business owner predicts that the business he runs will not be able to survive with the existence of competitors and he also has plans to exit the market or industry. Is giving up a wise decision? First of all, I believe that every decision made by a business is often a decision that has been thought through and discussed, both good and bad. In the view of some people, giving up is not a wise action.