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1. 1
Guide to Understanding the
Competitive Market & How to
Capitalize Business Opportunities
Your Company Name

2. 2
TableofContents
Questions to Consider Before
Formulating Strategy01
Market Opportunity Analysis -
Ansoff Matrix02
Market Opportunity Assessment03
Strategic Options04
Start with Market Research05
Step 1 - Define Your Market06
Step 2 - Understand the Market
Adoption Curve
o Example - Smartphone adoption curve
o Market Strategies at Each Stage of the
Adoption Curve
07
Step 3 - PESTLE Analysis to
Understand the Market08
Step 4 - Porter’s Five Forces
Analysis09
Step 5 - Create a Competitive
Advantage10
2

3. 3
Questions to Consider Before Formulating Strategy
Successful businesses are clear about their business model and ensure their market strategy is aligned to each aspect of their business model.
02 04
01 03 05
What is your
Business Mission
Who is Your
Target Customer
What Product/
Service You Offer?
What is Your Go-To-
Market Strategy?
What are Your
Functional
Processes?
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4. 4
Market Opportunity Analysis- Ansoff Matrix
New Products
& Services
Existing Products
& Services
NewMarketsExistingMarkets
Market Penetration
Penetrates existing markets,
gain market share; sell more
to existing customer
Product Development
Sell more to current
customers & markets
Market Development
Enter & develop
new markets
Diversification
Diversify your business portfolio
(leverage core competencies)
Ansoff’s Matrix
The Ansoff Matrix is one of the most popular strategic models for
market growth. The model provides 4 possible business growth
strategies - Market Penetration, Market Development, Product
Development, and Diversification.
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5. 5
Market Opportunity Assessment
Do you have the capabilities to take advantage of market opportunities?
Segmentattractiveness
High
Low
CapabilitiesLow High
Segment 5
Segment 1
Segment 9
Segment 2
Segment 12
Segment 13
Segment 8
Segment 6
Segment 7
Segment 11
Segment 4
Segment 10
Segment 3
High Priority
Low Priority
Medium Priority
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6. 6
Strategic Options
Every company needs to review its market strategy. Do you have an opportunity to expand into new markets? Or should you be targeting some markets better or exiting a few?
Target Your
Market Better
o More product/ service
offerings
o Improved Marketing Pitch
o Competitive War for
Leadership
Diversify into
New Markets
o Leadership in Current Market
o Resources and capability to
expand
o Demand in
o new markets
Drop UN profitable
Markets, Focus on Niche
o Too many markets
and poor market
position
o Declining profits
and market share
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7. 7
Start with Market Research
Once you are clear about your business model and have identified market segments, do a thorough market research about their needs and how your products meet their expectations.
Market
Research
This will help you position your product and
lead the competitive race.
Identify the Trends
This will help you create a better product value
and expand your existing market.
Identify customer needs
This can help you expand your current market
and tap into new markets also.
Identify new use cases
This can help you create a new market that did
not exist before.
Identify better, faster solutions

8. 8
Step 1- Define Your Market
Identify the different use case scenarios of your product so that you can map your market and target it accordingly.
For Businesses For Families/Individuals
Product A Product B
o Protection of data
o Protection from hacking
o Protection from all virus & malware
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o Protection from anti-virus
o Protection from identity theft
o Blocking objectionable content
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9. 9
Step 2 - Understand the Market Adoption Curve
Analyze where the market is currently on the adoption curve- Is the market at the stage of Saturation or has it just taken off? Make strategies accordingly.
CumulativeAdoption
Time
Innovators Early Adopters Early Majority Later Majority Laggards
Saturation
Take Off
S – curve model of diffusion process
(adopted from Rogers 1962).
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10. 10
Example - Smartphone
Adoption Curve
Insights
Since the launch of iPhone in 2007, the adoption of
smartphones has skyrocketed. According to analyst Horace
Dediu at Asymco, the US market has passed the Early
Adopters stage, the Early Majority and is now entering the Late
Majority stage. The Late Majority has now adopted
smartphones for practical purposes after they became widely
adopted by Early Majority.
Source- Research by analyst Horace Dediu at Asymco
Here is an example of market adoption curve for the
Smartphones industry. Similarly, map out the
adoption rate of your product in your industry.
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10

11. 11
Market Strategies at Each Stage of the Adoption Curve
Depending where your product is on the adoption curve, you can use the following strategies for maximum benefit
Strategies for the
o Claim Early Mover Advantage
o Focus on your Value Proposition
o Make it difficult for competitors to enter the
market
o Leverage the market forces of supply and
demand to establish the lead
Takeoff Stage
o Beat the competition by superior value proposition
o Create a formidable cost strategy to get the price
advantage
o Stay in tune with customer demands and needs to retain
customer loyalty
o Leverage strong partnerships to consolidate market share
o Introduce new products or services or enter new markets
to keep the profits coming
Middle Stage
o Innovate to beat the competition in a mature
market
o Use your killer value proposition to create new
markets and new customer segments
o Make it difficult for competitors to copy your
idea
Saturation Stage
01
02
03
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12. 12
Step 3- PESTLE Analysis to Understand the Market
Perform PESTLE Analysis to determine how favorable is the political, economic and legal environment of the new market
o International influences
o Changes in
o information technology
o Take- up rates
o Stability of government
o Potential changes
o to legislation
o Global influences
o Economic growth
o Employment rates
o Inflation rates
o Monetary policy
o Consumer confidence
o Tax policies
o Employment laws
o Industry regulations
o Health & safety
regulations
o Regulations
o & restrictions
o Customer attitudes
o Income distribution
o Demographic influences
o Lifestyle factors
TechnologicalPolitical Economic Legal EnvironmentalSociological
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13. 13
Step 4 - Porter’s Five Forces Analysis
Porter’s Five Forces Analysis to analyze if the product/service can survive in the business environment.
o Barriers to entry
o Number of customers
o Size of each customer order
o Differences between competitors
o Price sensitivity
o Buyer’s ability to substitute
o Buyer’s information availability
o Switching costs
Bargaining
power of buyers
o Barriers to entry
o Economies of scale
o Brand loyalty
o Capital requirements
o Cumulative experience
o Government policies
o Access to distribution channels
o Switching costs
Threat of
new entrants
o Number of competitors
o Diversity of competitors
o Industry concentration
o Industry growth
o Quality differences
o Brand loyalty
o Barriers to exit
o Switching costs
Rivalry among
existing competitors
o Number of suppliers
o Size of suppliers
o Uniqueness of each supplier’s product
or service
o Focal company’s ability
o to substitute
o Switching costs
Bargaining power
of suppliers
o Number of substitute
o products available
o Buyer propensity to substitute
o Relative price performance
o of substitute
o Perceived level of
o product differentiation
o Switching costs
Threat of substitute
products or services
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14. 14
Step 5 - Create a Competitive Advantage
Finally, choose the factors that will give
you an edge over other competitors in
the market and capitalize on those.
Exclusive strategic
partnerships
Reputation
Access to
Intellectual properties
Strategic assets
Low cost
production
Speed
First mover advantage
Access to working
capital
Strategic location
Exclusive resale &
distribution rights
Know - how
Flexibility of production
process
Brand popularity &
Recognition
Best product or
customer service
Strong R&D Barriers to entry & exit
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15. 15
AdditionalSlides
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16. 16
GuidetoUnderstandingtheCompetitiveMarket&How
toCapitalizeBusinessOpportunitiesIconsSlide
16

17. 17
Agenda
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Agenda
01
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Agenda
02
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Agenda
03
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Agenda
04
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Agenda
05

18. 18
Executive Summary-Market Overview
$8
Market
Revenue
$6
Base year
market growth rate
G
$600-
$900
Average price per unit
industrial cameras
G
$8
Compound
annual growth rate
$300-
$360
Average price per
unit-frame grabbers
$20
Degree of
technical change
$9
Market size for last
year of study period
$12
Market
Concentration
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18

19. 19
Industry Size
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2016
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2017
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2018
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2019
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2020
6.5MN
9.3MN 8.1MN
7.9MN
9.7MN

20. 20
Target Market (Determine Your Brand’s Target Audience)
Target Audience
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21. 21
Target Market Size & Growth
04
01
02
03
Penetrated Market
Target Market
Served Market
Total Available Market
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22. 22
Target Market Size & Growth
0
1
2
3
4
5
6
7
8
9
10
0
10
20
30
40
50
60
70
80
90
100
2017 2018 2019 2020 2021 2022 2023 2024
GrowthRate(%)
MarketSize(RMB100Million)
Market Size Growth Rate
Growth Rate
Market Size
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23. 23
Market Opportunity
$350$150
2019
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Today
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24. 24
Market
Opportunity
by Business
Online Courses$20
Virtual Classroom$45
One-on-one Tutoring$55
Company Business$125
E-learning App$30
24

25. 25
Market Trends (Current
Number in Years)
2017
2020
0
10000
20000
30000
40000
50000
Latin America Canada Japan Europe Asia Pacific US Rest of World
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25

26. 26
Market Trends (Percentage
Spending in Years)
0
10
20
30
40
50
60
70
80
90
100
Africa Middle East Latin America Eastern Europe North America Asia Western Europe
2020
2017
This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
26

27. 27
Market Trends (Market Size & Demand Forecasts)
Asia-Pacific
The Largest Market
0
2
4
6
8
10
2016 2017 2018 2019 2020
Market Projected To Reach
US$ 1.1 Trillion by 2020
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28. 28
Market Trends (Market With Potential for Growth)
Asia-Pacific
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Middle East & Africa
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The United States
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29. 29
Market Trends (High Growth Markets)
50%
55%
80%
Middle East & Africa
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Asia-Pacific
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The United States
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30. 30
Market Trends (key Market Drivers)
Market
Driver
Market
Driver
Market
Driver
Market
Driver
Market
Driver
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