"Non-price competition is a marketing strategy in which one firm tries to distinguish its product or service from competing products on the basis of attributes like design and workmanship."
A type of competition in which firms compete on non-price factors such as product quality, brand image, or unique features.
Market structure: Describes the number of firms and their relative sizes in a particular industry.
Game theory: The analysis of strategic interactions between individuals in decision-making scenarios.
Competitive advantage: A unique advantage that allows a company to outperform its competitors.
Industry analysis: Examines the potential profitability of an industry as a whole.
Competitive positioning: Examines a company's position within the industry and how it relates to its competitors.
Porter’s Five Forces: Framework to understand profitability of an industry based on five factors: bargaining power of suppliers, bargaining power of buyers, new entrants, substitutes and rivalry among existing competitors.
Strategic groups: Clusters of firms with similar strategies, market positions and business models.
Competitive dynamics: The ongoing interactions between firms in a market that determine the effectiveness of competition.
Entry and exit strategies: The process of entering and exiting a particular industry.
Leadership in strategic competition: Explains the role of leadership in strategic competition.
Brand building: The process of creating a strong brand identity that resonates with customers.
Innovation: Developments or changes in technology, product design, marketing strategy or production processes.
Strategic planning: Process of determining the company's long-term goals and objectives as well as the strategies to achieve them.
Mergers and acquisitions: The process of combining two or more firms to achieve greater market power.
Market research and analysis: The process of gathering and analyzing data to understand the market and consumer behavior.
Distribution channels: The pathways through which a company's products reach its customers.
Advertising and promotion: The communication process used by companies to promote their products or services.
Corporate culture: An organization's shared values, norms, beliefs and behaviors.
International competition: The process of competing in global markets.
Government regulations: Regulations and laws that affect the operations of a particular industry or business.
Price competition: Firms compete on price, which can lead to intense price-cutting and potentially lower profits. This type of competition is particularly common in commodity markets.
Product differentiation: Firms compete by offering unique or differentiated products or services that offer superior value to consumers. This type of competition is particularly common in markets with high levels of brand loyalty.
Innovation competition: Firms compete by investing in research and development and developing new products or technologies. This type of competition is particularly common in the technology and pharmaceutical industries.
Marketing competition: Firms compete by implementing effective marketing strategies that attract and retain customers. This type of competition is particularly common in the consumer goods and retail industries.
Strategic alliances: Firms cooperate with each other to gain access to new markets or resources, or to share costs and risks of product development. This type of competition is particularly common in the airline and transportation industries.
Mergers and acquisitions: Firms acquire or merge with other companies in order to gain access to new markets or to achieve economies of scale. This type of competition is particularly common in the banking and telecommunications industries.
Government intervention: Governments may intervene in markets in order to promote competition or to protect consumers. This type of competition is particularly common in industries such as telecommunications, energy, and health care.
Network effects: Some products or technologies gain increased value as they become more widely used, creating strong incentives for firms to compete to gain market share. This type of competition is particularly common in the software and social media industries.
"It often occurs in imperfectly competitive markets because it exists between two or more producers that sell goods and services at the same prices but compete to increase their respective market shares through non-price measures."
"Firms compete to increase their respective market shares through non-price measures such as marketing schemes and greater quality."
"It is a form of competition that requires firms to focus on product differentiation instead of pricing strategies among competitors."
"Such differentiation measures allowing for firms to distinguish themselves, and their products from competitors, may include offering superb quality of service, extensive distribution, customer focus, or any sustainable competitive advantage other than price."
"When price controls are not present, the set of competitive equilibria naturally correspond to the state of natural outcomes in Hatfield and Milgrom's two-sided matching with contracts model."
"It can be contrasted with price competition, which is where a company tries to distinguish its product or service from competing products on the basis of low price."
"Non-price competition typically involves promotional expenditures (such as advertising, selling staff, the locations convenience, sales promotions, coupons, special orders, or free gifts), marketing research, new product development, and brand management costs."
"Oligopolistic businesses normally do not engage in price competition as this usually leads to a decrease in the profit businesses can make in that specific market."
"Non-price competition is a key strategy in a growing number of marketplaces (oDesk, TaskRabbit, Fiverr, AirBnB, mechanical turk, etc) whose sellers offer their Service as a product, and where the price differences are virtually negligible when compared to other sellers of similar productized services on the same marketplaces."
"They tend to distinguish themselves in terms of quality, delivery time (speed), and customer satisfaction, among other things."