Stepping up to competition in any business is imperative. The trick is to know when to stop, breathe, think and then proceed. Business rules dictate that you always think and do bigger and better than the competition. However, sometimes the smarter option is to limit your operations, polish your products or services that do not glow but have a tremendous shine, and develop a USP that actually leaves your competition gasping for breath.
The non-conservative approach
Business sense says that you must always be one step ahead. Your array of offerings must always be more than your competition. You must be faster than your competition in terms of services and delivery of products. Your price list must be competitive, even if your MRP says Re. 1 less than the competitor. Let’s go off tangent here, and consider, is this the only way to be in business?
When you always watch the competition and follow their lead in terms of price and offerings and delivery, you tend to miss the plot. You also miss out on developing offerings that not only guarantee customer delight but also enliven and feed your passion for business. As you blindly follow the leader, you walk away from profits and business growth.
The Simple Route
Take the simple route, walk the straight and uncluttered path. Concentrate on your core competencies. Look at your strengths and offer products and services you can ace. Bet on your best. You will run at your own speed and yet win. You will become known and famous for you specific offerings. Customers will source you for your USP. For instance, a paratha house may offer fifty types of parathas, but with the ten that you make best, you will find more customers lapping up the parathas with the extra butter et al!
Leaner is better
When your range of offerings is leaner you concentrate more on quality and innovating on products that delight customers. Small time operators have innovated their meagre offerings and transformed into great multinationals operating across continents. KFC started with the simple fried chicken, and now is a household name not only in the States by across all states in India as well. As you look around across brands, products and services, you will observe how local and global brands have adopted this strategy and gained tremendous success and a whole load of profits