ABSTRACT
This chapter looks at the problems in identifying competitors correctly, illustrating these by examples drawn from a wide variety of sectors. It examines the use of benchmarking to compare companies. The chapter explores the application of techniques such as gap, conjoint and win-loss analysis in positioning firms. While sales teams often conduct some form of win-loss analysis, there are good reasons for the CI unit and other functional areas to be involved in this. The involvement of the competitive intelligence (CI) function in benchmarking varies enormously between companies. The Motorola intelligence department engages in some formal benchmarking for the company. Once a business process to be examined is decided upon, the benchmarking squad will begin by understanding how it is presently carried out in their organization. A sound understanding of a firm's competitive situation demands comparison against other companies on a wide range of aspects of performance. Accurate and complete identification of competitors is vital for fully effective CI.
