When commencing a new business venture, knowing your competitors is almost as important as knowing your customers! This activity will help you identify key information about your competition.

Use the Internet, telephone directories, trade magazines or your local library to identify your five nearest competitors in terms of geographic location. Find out the following information about each competitor.

(Tip: Some of this information may be obtainable simply by looking at products or marketing material. Alternatively, assume the role of a potential customer and ask the staff for more information about their business.)

• What business patterns have they recently experienced? Is trade steady, increasing or decreasing?
• Which suppliers do they use?
• How are their products distributed?
• Have they recently changed any aspects of their operation?
• How does their product or service differ from yours?