competition

(redirected from compete)
Also found in: Dictionary, Thesaurus, Medical, Legal, Idioms, Encyclopedia, Wikipedia.
Related to compete: compete against, Alexa

Competition

Intra- or intermarket rivalry between or among businesses trying to obtain a larger piece of the same market share.

Competition

The attempt by two or more companies or other organizations to secure the business of a customer. Competition occurs when different companies offer better quality products and/or lower prices in order to encourage economic actors to become and remain customers. For example, two grocery stores may advertise that they offer better quality meat or lower prices for peanut butter so shoppers patronize one grocery store and not the other. Nearly all economists believe that competition is necessary for innovation and growth, though few agree on how best to foster competition.

competition

the process of active rivalry between the sellers of a particular product as they seek to win and retain buyer demand for their offerings. Competition can take a number of forms including price cutting, ADVERTISING and SALES PROMOTION, quality variations, packaging and design, and market segmentation (see MARKETING MIX). The nature and intensity of competitive relationships in a market, in turn, depends on various factors such as product and buyer characteristics, the extent of market concentration, and cost and demand considerations (see MARKET STRUCTURE, MARKET CONDUCT). For example, where products are standardized, competition is usually focused on price, whereas in markets where buyers demand a wide range of product variety and quality mixes, PRODUCT DIFFERENTIATION competition tends to be emphasized. In markets characterized by high levels of seller concentration, suppliers tend wherever possible to substitute product differentiation competition for price competition because of the mutually ruinous consequences of price wars. Moreover, in some instances, mutual interest considerations may well lead suppliers to control competition so as to promote orderly and profitable trading conditions by, for example, establishing price fixing CARTELS. Business strategy and marketing analysts are especially concerned with identifying and exploiting product and buyer characteristics as a means of establishing COMPETITIVE ADVANTAGES over rival suppliers. From a wider public interest angle, the nature and strength of competition has an important effect on MARKET PERFORMANCE and hence is of particular relevance to the application of COMPETITION POLICIES.

competition

  1. 1a form of MARKET STRUCTURE in which the number of firms supplying the market is used to indicate the type of market it is, e.g. PERFECT COMPETITION (many small competitors), OLIGOPOLY (a few large competitors).
  2. a process whereby firms strive against each other to secure customers for their products, i.e. the active rivalry of firms for customers, using price variations, PRODUCT DIFFERENTIATION strategies, etc. From a wider public interest angle, the nature and strength of competition has an important effect on MARKET PERFORMANCE and hence is of particular relevance to the application of COMPETITION POLICY. See COMPETITION METHODS, MONOPOLISTIC COMPETITION, MONOPOLY.
References in periodicals archive ?
Once the confidential information has been disclosed, new consideration is generally required for a promise not to compete by the employee.
On August 1 a 2, 977 candidates will compete for 20 positions at the customs administration in Varna.
Some sellers seem to think that because their attorneys have said non-competes don't hold up that the sellers can legally compete against the buyers.
In 2006, Compete was presented with a coveted Deloitte Technology Fast 50 Award in recognition of its significant growth accomplishments and position as the third fastest growing company in New England.
The Ice Station now has about 40 girls preparing to compete on its Valencia Vipers teams at three levels: 19-under, 14-under and 12-under.
nonferrous foundry, also notes that workers compensation, health care and energy costs make it more difficult for companies such as his to compete.
By shifting the purchase price from the assets to the covenant not to compete, the taxpayer paid less tax and the acquirer was entitled to greater early tax deductions.
For dancers who compete, steel nerves and an ability to be ready for anything are as important as months of rehearsal and years of classes.
Consumers buy insurance online based almost exclusively on price, according to a new study by Compete Inc.
Pursuant to the Agreement, T acquired A's goodwill and A entered into a covenant not to compete in connection with the sale of goodwill in exchange for a monthly payment.
Dot-com and service companies compete in Tel Aviv and Ramallah and those cities' economies thrive.