If you’re thinking of starting a business, you need to take some time to consider your competition. Exactly what this means depends on the business itself. If it’s going to be a local brick-and-mortar store, for instance, you only really need to consider the close geographical location around your own property. If you’re starting an online business, the local area matters far less than the amount of competition you face online, regardless of where it is based.
Having competition is fine
First and foremost, you should know that simply having competition is fine. It’s true for every business. If anyone tells you there is no competition, it’s likely that they haven’t done enough research. You just want to consider details like:
- What has your competition done to succeed?
- Is there enough of a market to support multiple businesses in the same area?
- What can you do to set yourself apart from your competition? What can you do better?
- What is your value proposition to your customers?
- How can your branding be different and unique?
- Are there any ideas you want to replicate in a new way?
How is your competition set up and how can you capitalize on that? For instance, perhaps they sell most of their products in person, and you think you can take a similar business online.
When you start asking these questions, it can help to show you how to get started and set up your business. It’s important to take all of the proper legal steps, so working with a local law firm can also be helpful.