concerns the degree to which a business is affected by rivals that operate in the same market
threat competition presents to businesses operating in a market will determine how quickly the business responds - greater the threat, quicker the response required, vice versa
how independent businesses adjust to arrival to a famous business:
focus on their unique selling points
adjust their pricing strategies
enhance customer service
expand product range
collaborate with other local business
market size?
number of customers and sellers in a particular market
