Competitor Analysis

Michael Porter's Framework: Michael Porter's framework for competitor analysis highlights four indicators—current strategy, objectives, capabilities, and assumptions—that can help predict a rival's strategic moves. Strategic Profiling: Creating a strategic profile of a rival involves characterizing them across dimensions such as current strategy, objectives, capabilities, and assumptions, providing valuable insights into their behavioral tendencies. Key Questions for Prediction: Company strategists need to consider questions such as the competitor's market position, basis of competitive advantage, and investments in infrastructure to predict their next moves accurately. Linking Performance to Strategy: Rivals with good financial performance are likely to continue their current strategy with adjustments, while poorly performing rivals are expected to make significant strategic changes.