1. THE COMPANY’S MARKET MODEL
Competition can be defined as vying among business for the same resources or
customers. Competition occurs when two or more business vies for the same resources or
customers. For example, you have many choices of shoe’s brand to choose. The competitors
will vie each other to offer the best one for you by offering a reasonable price and quality
shoes. Therefore, the economies have identified four basic degrees of competition within
private enterprise system.
There are four basic degrees of competition within a free enterprise system:
pure/perfect competition
monopolistic competition
oligopoly
monopoly
The market model for this business, INANI CRAFT& DESIGN, is monopolistic
competition. This business have a fairly large number of buyer in the area itself and outside
of the business area.
This business had done the hard promotion before get famous and continue the
promotion until now. For instance, promotion through peoples, flyer, newspapers and social
network.
This business produce and come out with different pattern and design of product. As
a entreprenuer, he was responsible to create a variety pattern and design. He need to be
creative, inovative and have the potential to think out of the box.
The business has their own brand which is INANI CRAFT& DESIGN. The business
create their own brand and had registered the brand in Compories Commission of Malaysia.
So, the other firm cannot take their brand name. This is show that, the owner, Mr Zaini are
try to differentiate theirproduct from their rival by brand name, design, advertising,
promotion techniques and outstanding customer sales services to create customer loyalty.