Entrepreneurship-Know Your Competition

To convince customers to buy from you instead of your competition, you need information about your competitors. 

• True
• False

Secondary data resources and observation can help you learn about your direct competitors.

• True 
• False

Your indirect competitors are those business that make most of their money selling products or services that are the same as or similar to yours.

• True
• False

Analyzing the strengths and weaknesses of your competition is a waste of resources.

• True
• False

Your analysis of competitors should include their prices, locations, and facilities.

• True 
• False

A few customer complaints are not important if your business has a better location and better prices than your competition.

• True
• False

Superior service, easy return policies, and frequent-buyer programs are some of the strategies you can use to maintain customer loyalty.

• True
• False

A small business selling specialty items will like face ______ from a large retailer.

• demographic competition
• incidental competition
• indirect competition
• unfocused competition

All of the following can provide information about direct competition except

• the Postal Service
• the telephone directory
• the Chamber of Commerce
• observation methods

As an entrepreneur, you may find that indirect competitors

• are more difficult to locate than direct competitiors
• are usually located in malls or shopping centers
• make most of their money selling the same product or service than you sell
• none of these