Competitive Behavior - Meaning & Definition

Published in Marketing and Strategy Terms by MBA Skool Team

What is Competitive Behavior?

The term ‘Competitive’ means willing and eager to compete. Competitive Behavior includes the actions and steps taken by a firm to build or reduce the competition and to increase the market ration.

Generally competition is done in order to increase the strength, wealth or may be personal gains and it may be among companies, enterprises, industries or individual. The reason for this varies from creed to selfishness.


Competition happens by the firms in the same segment/field, same industry, and same market offering similar products and targeting the same customers to gain and sustain competitive advantages.


Success of the Competition is depends on:

  • Firms competitive actions
  • Anticipations of competitors strategy
  • Action Plan against competitors strategy

Competitive Rivalry:

  • Should concern with resources
  • Should affect the rivals strategies and approaches
  • Affect all types of strategies

Important tools of competitive Behavior:

  • Awareness
  • Motivation
  • Ability
  • Market Commonality
  • Resources Similarity

Major Outcomes:

  • Increased profits

Strengthened market position

This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse the definition and meaning of more similar terms. The Management Dictionary covers over 1800 business concepts from 5 categories.

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