I'm curious to hear people's opinion about competitive response cases, which often is tangled with market entry, M&A, etc. I think Victor Cheng's 3C+P framework can be used but is too broad. What's your take?
Competitive response cases - what factors would you consider to make a decision?
Overview of answers
Upvotes
Best answer
First ask if the competitor aims to target the same segment(s) that we serve.
If so, then:
1- What are the customer segment's needs?
2- What are our comp adv (and link it to #1)
3- What are the competition's comp adv? (and link it to #1)
If you realize that we got the most important needs covered, that's a plus. If not, then we need to take more action depending on the factors that we are lacking. E.g. improve certain factors, lowering costs so we can lower price and maintain same PM, etc.
Hope this helps.
Was this answer helpful?
Related Cases
Company case by Deloitte
Style:
Duraflex is a German footwear company with annual men’s footwear sales of approximately €1 b.They have always relied on the boot market for the majority of their volume. In this market they compete with three other major competitors.In the fall of 2019, Badger – one of Duraflex’s competitiors – laun
...
Duraflex is a German footwear company with annual men’s footwear sales of approximately €1 b.They have always relied on the boot market for the majority of their volume. In this market they
...
(Open whole case)
87.2k
Times solved
Intermediate
Difficulty
Company case by FTI-Andersch AG
Dein Mandant ist Vorstandsvorsitzender eines international agierenden deutschen Konglomerates in der Metallindustrie. Der Ergebnisbeitrag der im Konzernverbund unabhängig agierenden Metalloxid GmbH entwickelte sich in den vergangenen Jahren rückläufig. Deine Aufgabe ist es, den Mandanten bei der Urs
...
Dein Mandant ist Vorstandsvorsitzender eines international agierenden deutschen Konglomerates in der Metallindustrie. Der Ergebnisbeitrag der im Konzernverbund unabhängig agierenden Metallox
...
(Open whole case)
5.7k
Times solved
Intermediate
Difficulty
Your client, Wall Inc., is a dry wall manufacturer. A new competitor has just entered the market. Since the competitor charges low price company, Wall Inc. is thinking about reducing its price by 20%. The client wants us to evaluate this plan.
Your client, Wall Inc., is a dry wall manufacturer. A new competitor has just entered the market. Since the competitor charges low price company, Wall Inc. is thinking about reducing its price by 20%. The client wants us to evaluate this plan.
(Open whole case)
15.9k
Times solved
Beginner
Difficulty
Expert case by Hagen
Style:
BabyformulaCo is a leading producer of baby formula with a 30% market share in the US that is looking for ways to increase their market share without significantly lowering profitability. Recently, a Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) for low-income women a
...
BabyformulaCo is a leading producer of baby formula with a 30% market share in the US that is looking for ways to increase their market share without significantly lowering profitability. Re
...
(Open whole case)
15.4k
Times solved
Intermediate
Difficulty
Expert case by Hagen
Style:
Sprinker is a mid-sized, US-based publishing agency that develops, produces, and sells educational materials. It has come to their attention that some private schools are considering changing their first-grade textbooks, for which they would need a publishing agency.Sprinker is interested in partici
...
Sprinker is a mid-sized, US-based publishing agency that develops, produces, and sells educational materials. It has come to their attention that some private schools are considering changin
...
(Open whole case)
14.9k
Times solved
Beginner
Difficulty