Competitive environment
What Competitive environment means in Business GCSE, as defined for AQA, Pearson Edexcel.
Definitions of Competitive environment
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Reference: Pearson Edexcel
The surroundings of rivals that a business must respond to, for example when a rival lowers prices a firm might increase promotion or enhance product features rather than just cutting its own price.
The level of competition a business faces, which may lead it to focus on price, quality or customer service to retain customers.
Change comes from customers, competitors, technology, laws and the economy, and a business that ignores change can lose sales.
Topics that use Competitive environment
- Setting business aims and objectives (AQA GCSE)
- The purpose and nature of businesses (AQA GCSE)
- The marketing mix (Pearson Edexcel GCSE)
Related terms
- Adaptation and change
- Adaptation to change
- Added value
- Adding value through transformation
- Aim
- Business aim
- Business aims
- Business context and contingency
Using Competitive environment in the exam
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