Académique Documents
Professionnel Documents
Culture Documents
Beverages like soft drinks (Coke and Pepsi), - Dabur Health drinks (Complan, Horlicks, Boost) Milk: Nestle, Britannia, Amul, mother dairy, vishaka, Paras Modi, CEAT, Dunlop, Good Year, Brigestone, Michelin India
Microsoft vs. Apple (Operating system) 0r Airrbus and Boeing in (Aircraft industry)
Nestle and Cadbury in chocolate market Nestle and Hindustan Unilever in Coffee segment Google vs. Bing
Binani, Ultratech, Ambuja, ACC, India Cements, Madras cements, JK cements, Lafarge India
Mars, Hershey, Nestle, Kraft foods and Cadbury in Germany France Unilever, Colgate-Palmolive, Henkel and Procter and Gamble for detergent in France
Behavioral Approach
Intent of Top management team
Compete in open market Collude and fix the market especially in multi market
competition Intent reflected in activities Intent can be measured through - Competitive Intelligence/ Competitive Orientation
competitive activities it takes Hence, intensity of competition can be measured from competitive dynamics theory by virtue of focusing on certain competitive (generally market based activities)
Measuring competition: By virtue of activity or action Ferrier, Smith and Grin Behavioral Theory of Competitive dynamics
Focus on five types of activities Pricing action rebate, discount Marketing action promote, distribute, campaign
infringement, defaming competitor by virtue of ads Signaling action: True or false promises, vows, seeks, aims Language wars Spying (not generally visible)
Oracle hiring detective agency to spy on Microsoft Detective agency stole two laptops to obtain certain
data for the bribe of $ 1, 200 P&G hired competitive intelligence consulting firm to gain information on hair care business of Unilever Luxury goods retailer hired Deloitte and Touch which provided consultancy in computer forensics They entered as repairmen in closed offices to copy hard drives of three key employees In India, information on sales figure
competitive actions in the particular action category pi2, where pi = proportion of one type of competitive action to total number of competitive actions.
institutionalization Competitive action speed: actual time gap between various strategic actions taken by a particular firm Strategic action announcement - implementation time lag
Complexity of actions:
- Distribution channel enhancement (tie ups with NGOs) - Brand promotion through health campaigns and celebrity endorsement - Legal infringement for notifying false quality standards -Launch of new variants of purifier in low cost category
cement launch by Gujrat Ambuja Attack Imitation - water purifier industry: capacity expansion announcement almost simultaneously, similar type of health awareness promos -new variants both firms working on
automobile industry making a particular activity almost critical success factor - sharing distribution resources of banks Cement industry capacity expansion
- for water purifier 15 days - for cement industry more than 200 days
not considered Eg: technology transfer for process improvement, if or acquisition to gain complementary assets to build capabilities Poaching can have direct impact on competitive intensity
If firms take more such activities, their performance
- In strategic: consider other activities across value chain which can have direct impact on competitiveness of the firm In water purifier industry the gap was 2 on an average and in cement gap was 3.8 Magnitude of activity: Assign weights to activities