BUISENESS MANAGEMENT
MARKETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The development of branding to differentiate the product from its competitors
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The degree and closeness of competition between similar businesses
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A location which is busy-such as a crowded beach
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The desire to operate in a market which is close to the customer base
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Detailed explanation-1: -A competitive environment is one in which companies compete with each other. The more businesses that provide a similar product or service, the more competitive the environment.
Detailed explanation-2: -There are four types of competition in a free market system: perfect competition, monopolistic competition, oligopoly, and monopoly.
Detailed explanation-3: -Competition in business decreases an individual companies market share and shrinks the available customer base, especially if demand is limited. A competitive market can also force lower prices to stay competitive, decreasing profit margins for each sale or service. An extreme example is a Flooded Market.
Detailed explanation-4: -A competitive environment is the dynamic external system in which a business competes and functions. The more sellers of a similar product or service, the more competitive the environment in which you compete.