Business GCSE
Competition
What Competition means in Business GCSE, as defined for AQA.
Definitions of Competition
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Reference: AQA
A factor that affects location because a business may avoid areas with many rivals to reduce direct competition, or locate near competitors to benefit from customer footfall.
The rivalry between businesses trying to attract the same customers, existing when several sellers offer similar products and giving buyers choice.
Competitors' prices matter because customers compare alternatives, so a business may price above, below or in line with rivals.
Pressure between global suppliers that pushes prices downward and encourages quality improvements.
Rival businesses offering similar products to the same customers.
Topics that use Competition
- Business location (AQA GCSE)
- Competitive environment (AQA GCSE)
- Globalisation (AQA GCSE)
- The elements of the marketing mix: price, product, promotion and place (4Ps) (AQA GCSE)
- The purpose and methods of market research (AQA GCSE)
Related terms
- Business objectives
- Competitive pressure
- Competitiveness
- Customer needs
- Decision making
- Differentiation
- Market
- Market share
Using Competition in the exam
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