Easy Situations

Question: 

What's it called when a business has no competition?

Gary's Answer: 

Technically, it an “easy” situation. It has both positives and negatives. It is not a “monopoly,” which is a situation that can only exist after you have surpassed all your competition, winning the market. Google beat Yahoo, and Microsoft, the TRS-80 to create monopolies. Easy situations exist before there is a true market as such to win.

The “easy” situation is one of the three early stages of development (the other two early stages are “contested” and “open”) in a competitive campaign or marketplace. It is easy because you are free to define your own path without having to think about what others in your competitive space are doing. The opportunity is truly an “opening,” that is, a need no one else is addressing and a field in which no one else is playing. The situations is easy because you have no pressures from customers or competitors forcing you to change.

The problem with an open situation is the no one understand your product, customers, and few, and profit potential unclear. You alone are promoting its value. The fact that competitors haven’t come in means that customers are not clamoring for the product. Competitors don’t enter the market unless they understand the need and see customers buying or making their own solutions to address the need. The hardest part of an “easy” situation is defining the need and value of your product to potential customers.

As markets develop, competition tends to arise. Competition promotes the market as a whole. Companies can define their offering as different competitive offerings.